ONE OF MY CLIENT SOLD AGRICULTURAL LAND IN PREVIOUS YEAR THE LAND WAS PURCHASED IN THUC YEAR OF 2000 WORTH OF RS. 6,00,000/- LAKH RUPEES NOW THE LAND SOLD WORTH OF RS. 50,00,000/- NOW MY QUERY IS SALE OF AGRICULTURAL LAND IS EXEMPT INCOME AS PER IT ACT. THE ASSESSEE IS HOUSEWIFE HIS HUSBAND IS FARMER BUT GOVT EMPLOYEE AND HE PURCHASED LAND IN HIS WIFE NAME AND ALSO THEY PURCHASED AGRICULTURAL LAND WORTH OF RS. 7,00,000/- REMAINING AMOUNT DEPOSITED IN SB ACCOUNT.
NOW HOW FILE IT RETURNS CAN WE FILE THE INCOME FROM SALE OF AGRI LAND TREATED AS EXEMPT INCOME BECAUSE THE ASSESSEE HAS NO OTHER INCOME.
27 July 2023
Check its specification as per IT act...
Rural Agricultural land
(a). If situated in any area which is comprised within the jurisdiction of a municipality and its population is less than 10,000, or (b). If situated outside the limits of the municipality, then situated at a distance measured- -more than 2 km from the local limits of the municipality and which has a population of more than 10,000 but not exceeding 1,00,000 -more than 6 km from the local limits of the municipality and which has a population of more than 1,00,000 but not exceeding 10,00,000 -more than 8 km from the local limits of the municipality and has a population of more than 10,00,000.
IN THE INCOME TAX PORTAL THE TRANSACTION NOT BEEN REPORTED SO SHOULD I STILL REPORT IN INCOME TAX RETURN FILE AS EXEMPT INCOME OR IGNORE IT BECAUSE THE ASSESSEE IS HOUSEWIFE SHE WILL NOT FILE IT RETURNS IN FUTURE ALSO.
CAclubindia
