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2014 (7) TMI 1316 - AT - Income TaxRevision u/s 263 - CIT directing revision to the assessment order to include agricultural capital gain in the computation of book profits u/s 115JB - submission of the assessee is that the profits on transfer of agricultural land falls within the definition of agricultural income and therefore the same is to be reduced from the profits as per profit & loss account while computing book profits u/s 115JB - HELD THAT:- The undisputed fact in the case of the assessee is that, the land transferred is agricultural land. This is so because the assessing officer has not assessed the income arising out of those lands under the regular provisions of Income-tax Act. In fact, the Ld. CIT Vijayawada has accepted the correctness of computation of total income under the regular provisions of the Act. Consequently, the profit on sale of agricultural land would become agricultural income u/s 2(1A) of the Act and hence not part of total income as per provisions of section 10 under provisions of Income tax Act, 1961. This profit has to be excluded from the computation of total income. In our view, it should be reduced from the net profits as per profit & loss account while computing the book profits for the purposes of 115JB of the Act. See HARRISONS MALAYALAM LIMITED. VERSUS ACIT [2009 (5) TMI 124 - ITAT COCHIN] - Decided against revenue
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