Sale of agricultural land

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Zubin (Querist)
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15 November 2011 what are the provisions of income tax on sale of agricultural land ? is it taxable or not and under which head ?

CA Dileep Surya Kumar

CA Dileep Surya Kumar (Expert)
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15 November 2011 Taxability is depends on location of the land.

1-for rural agriculture land (nothing is taxable in case of sale as it is not an asset u/s 2(14)

2-Sale of urban agricultural is taxable under the head capital gains.

Zubin

Zubin (Querist)
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15 November 2011 thanks !! but if urban land then at what rate ? what about short term or long term. is there any clause for if another agricultural land is purchases ?

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Zubin

Zubin (Querist)
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15 November 2011 thanks !! but if urban land then at what rate ? what about short term or long term. is there any clause for if another agricultural land is purchases ?

CA Dileep Surya Kumar

CA Dileep Surya Kumar (Expert)
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15 November 2011 for long term-20%
for short term-normal rate as applicable to other income.