2021 (1) TMI 560 - ITAT RANCHI - Income Tax

Head Note / Extract:
Capital gain - nature of land sold - whether the land sold by the assessee, by way of a registered sale deed is a capital asset as defined u/s 2 (14)? - HELD THAT:- The land in question is classified as Don in the revenue records and is thus wet land in which paddy is grown. Based on the documentary evidences it is clear that the land in question which is sold, is agricultural land. The AO or the ld. CIT(A) have no evidences to controvert the documentary evidences furnished by the assessee. The assessee has submitted a copy of Indian Village Directory where the village Lapra is located 12 km away from sub-district headquarter Khelari and 60km away from the district headquarter of Ranchi and that it is a gram panchayat that has a population of 3,559 people. No evidence controverting the above facts is brought on record by the AO or the ld. CIT(A). Thus the assessee has proved that the land in question is more than a distance of 8 km from the closest municipality and that it is agricultural land as defined u/s 2(14)(iii) - Appeal of the assessee is allowed.