Held that an agricultural land situated in Hazira notified area is not a municipal area or deemed municipality, hence the said agricultural land situated in the such notified area could not be treated as a ‘capital asset’ defined under section 2(14) and compensation received on an acquisition of such land was not taxable under Income-tax Act. (AY. 2007-08 to 2010-11)
Chimanbhai Dahyabhai Patel. v. ITO (2022) 195 ITD 585 (Surat) (Trib.)
S. 2(14)(iii) : Capital asset-Agricultural land-Hazira Notified area-not a municipal area or deemed municipality-Compensation received on the acquisition of such land was not taxable. [S. 10(37)]