The DCIT, Circle-3(3), Ahmedabad V. Ms. Janki Hitendrakumar Patel, Ahmedabad

ITA 2833/AHD/2016

• Counselvise Citation: [2021] 104 COUNSELVISE.COM (IT) 7896 (ITAT-AHMEDABAD)
• Duration Of Justice: 5 year(s) 28 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-11-2021
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2010-2011
• Appeal Filed On: 26-10-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: L. P JAI N
• Section: 148; 2; 54B; 43

Judgement Text

, ‘C’ । IN THE INCOME TAX APPELLATE TRIBUNAL “C” BENCH, AHMEDABAD (Convened through Virtual Court) BEFORE SHRI PRADIP KUMAR KEDIA, ACCOUNTANT MEMBER & SMT. MADHUMITA ROY, JUDICIAL MEMBER आयकर अपील सं. / I.T. A. No s. 2 83 3/ Ah d/2 01 6 W I TH CR OS S O BJ EC TI O N No. 2 8/ Ah d/ 20 17 ( As se s s ment Y ea r : 2 0 10- 11) De pu ty C o mmi ss io ner o f In co me T ax Cir cl e- 3( 3), A h med aba d / V s . M s . J a nk i Hit en dr a ku ma r Pa tel 6/3 89 -1 8, S at ya g ra h Ch ava ni , Sa te lli te , Ah me da bad यी ल सं./ ीआ आर सं./P A N / G IR N o . : A N J P P 8 9 6 0 E (Appellant / Respondent) . . (Respondent / Cross Objector) र क र स /Revenue by : Sh ri L. P . Jai n, S r. D. R. & V. K. Si ng h, S r. D .R . अपील र स /Assessee by : Ms . Nu pu r Sha h, A . R. स क र D a t e o f H e a r i n g 20/07/2021 & 26/10/2021 ! क र /D a t e o f P r o n o u n c e m e n t 24/11/2021 आद श/O R D E R PER PRADIP KUMAR KEDIA - AM: The c ap ti on ed a pp eal h as b ee n f ile d at the i ns ta nc e o f the Re ven ue . Th e as se s see h as a ls o f ile d c ros s o bje ct ion in t h e ap pea l of the R ev en ue a ga in s t t he o rd er of t he Co mmi s si on er of I nco me T ax (Ap pe al s) -3 , A h m eda ba d (‘ CIT (A )’ in s ho rt) d ate d 30.0 8. 20 16 I T A N o . 2 8 3 3 / A h d / 1 6 A / w C O N o . 2 8 / A h d / 1 7 ( D C I T v s . M s . J a n k i H . P a t e l ) A . Y . 2 0 1 0 - 1 1 - 2 - ari si ng in t he as s ess me nt or de r da t ed 3 0. 03 .2 01 5 p as sed b y th e As ses si ng Of f icer (A O) un de r s. 1 43 (3) r .w .s . 14 7 of the In co me Tax A ct , 19 61 (t he Act ) co nc ern in g A Y 2 0 10- 11 . 2. The a pp ea l of R eve nu e an d c ro ss ob je ct io n of as sess ee e ma na te s f ro m co m mo n i ss ue a nd t hu s dis po se d of f tog et h er. 3. To be gi n wi th , we s hal l ta ke u p Re ven ue a pp ea l for adj ud ic at io n p ur po s es. IT A No . 28 33/ A hd /20 16 ( As se ss ee ’s a pp ea l) 4. As per it s g ro un ds of app ea l, t he Re v enu e h as chall en ge d th e act io n of th e CI T( A) i n re ve rs in g the a ct io n of t he A O o n wit hd ra wa l of e x e mpti on u nd er s . 54 B of th e Ac t on sa le of agr ic ul tur al la nd and ch ar ge ab ili t y of cap it al gai ns on sal e of f resh l y ac qu ir ed l a nd. 5. Bri ef l y s ta te d, t he ass es se e co mp an y f ile d it s re tu rn of in co me f or A .Y . 20 10 -1 1 a t R s. 1, 46 ,5 8, 29 0/ -. Th e ca se w as re op ene d un de r s.1 47 of t he A ct an d r e-a ss es s men t wa s c arr ie d ou t i n the co ur se of the r e- as se ss me nt, the A O de ter m ine d th e to ta l i ncome a t Rs .3, 19 ,7 7, 41 0/ - af ter ma ki ng an a ddi tio n on acc ou nt of sh ort te r m cap it al ga in s ( ST C G) b y wi th dr aw al of exe mp ti on u nde r s .5 4B of the A ct an d b ri ng i ng to ta x t he ca pi tal ga in s a ri sing o n s ale of agr ic ul tur al l an d (ne w as se t) du ri n g t he ye ar o wi n g t o no n- f ulf ill me nt of c on di tio ns p re scr ib ed u n der s .5 4B of t he A c t.. 6. The A O o bs er ve d t hat th e a ss es se e i n the in st an t c as e h as so ld of f the l an d wit hi n a p eri od of t wo ye ars on 2 2. 02.20 10 . He nce , a t the en d of tw o ye ar s co nt e mpl ate d u nd er S ect io n 5 4B of the A ct , th e I T A N o . 2 8 3 3 / A h d / 1 6 A / w C O N o . 2 8 / A h d / 1 7 ( D C I T v s . M s . J a n k i H . P a t e l ) A . Y . 2 0 1 0 - 1 1 - 3 - ass es se e di d no t ha ve th e la nd h ol di ng at its d is posa l wh i ch he w as exp ec te d t o ha ve . It w as th us o bs er ved b y t he A O th a t w he n the ass es se e di d n ot h a ve an y a g ric ul tu ra l la nd i n his p os se s sio n at t he end of t wo ye a r s the n i t c an no t be sta te d t ha t t he co ndi ti on s of Sec ti on 54 B of the Act h av e be en f ul f ille d. T hu s, f or t he re as on s me nti on ed i n t he ass es s men t or de r, the AO d en ie d the cla i m of exe mp ti on u nd er s. 54 B of th e Ac t. 7. Ag gri ev ed , t he as s ess ee pr ef err ed ap pea l b ef ore th e CI T( A). It w as co nte nd ed b ef ore the CI T( A) th at t he a gr ic ultu ral l and gi vi ng ris e t o ca pi tal ga in is s it uat ed in r ur al are a an d i s no t a c a pit al a ss et as pe r def i ni tio n of Sect io n 2( 14 )( iii ) of the Ac t at t he f ir st in st an ce and he nc e, th e c har gea bi li t y un der s. 4 5 of th e A ct on su c h ga in s d o not a ri se in an y ma nne r. Co nse qu ent l y, i n th e a bs ence of a n y cha rg ea ble ca pi ta l gai ns , S ec ti on 54 B of the Ac t w ou ld not ap pl y. The CIT (A ) f o un d su bst an ti al meri t in th e pl ea ra ised o n be ha lf of the a ss es se e f or no n-c ha rg ea bil it y of capi ta l ga in s. Th e C IT( A) a ls o f ound mer it i n th e alt er nat e co nt en ti o n of the a ssess ee f o r eli gi bi li t y of exe mp ti on u nd er s.5 4B of the Ac t. The re lev an t o pe rat ive pa ra of the o rd er of t he C I T( A) is r epr od uc ed her eu nd er : “ 3 . 1 . I h a v e g o n e t h r o u g h t h e f a c t s m e n t i o n e d i n t he a s s e s s m e n t o r d e r a n d t h e s u b m i s s i o n f i l e d b y t h e a p p e l l a n t c a r e f u l l y. T h e c a s e o f t h e a p p e l l a n t w a s r e - o p e n e d u n d e r 1 4 7 r w s 1 4 8 o f t h e A ct w i t h t h e r e a s o n r e c o r d e d t h a t w h y t h e c a p i t a l g a i n t a x o f R s . 1 , 7 3 , 19 , 9 1 0 / - i n r e s p e c t o f A g r o L a n d a t S u r v e y N o . 3 3 5 s h o u l d n o t b e a d d e d t o t h e t o t a l i n c o m e a n d e x e m p t i o n c l a i m e d u / s . 5 4 B ( 1 ) ( i ) o f t h e I . T . A ct s h o u l d n o t b e w i t h d r a w n . A s a g a i n s t t h e r e o p e n i n g p r o c e e d i n g s , t he a p p e l l a n t h a d s u b m i t t e d v a r i o u s s u b m i s s i o n s v i d e l e t t e r d a t e d 4 . 9. 2 0 1 4 , 1 0 . 1 0 . 2 0 1 4 , 2 6 . 0 2 . 2 0 1 5 a n d 2 6 . 0 3 . 2 0 1 5 b e f o r e t h e A . O a n d s u b m i ss i o n d a t e d 2 4 . 0 5 . 2 0 1 6 & 2 9 . 0 8 . 2 0 1 6 i n t h e a p p e l l a t e p r o c e e d i n gs . T h e m a i n c o n t e n t i o n t a k e n b y t h e a p p e l l a n t w a s t h a t t h e r u r al a g r i c u l t u r a l l a n d s i t u a t e d a t V i l l a g e S a c h a n a i s n o t a c a p i t a l a s s e t a s p e r t h e p r o v i s i o n o f s e c t i o n 2 ( 1 4 ) ( i i i ) o f t h e A c t . I n s u p p o r t o f t h e s a m e , t h e d i s t a n c e c e r t i f i c a t e o f t h e G r a m P a n c h a y a t a n d t h e p o p u l a t i on c e r t i f i c a t e o f t h e V i l l a g e , w a s s u b m i t t e d b y t h e a p p e l l a n t . F u r t h e r , th e a p p e l l a n t h a s r e l i e d u p o n t h e d e c i s i o n o f H o n ' b l e P u n j a b &H a r y a n a H i g h C o u r t i n t h e c a s e o f C I T v s . S a t i n d e r P a l S i n g h 2 2 9 C T R 8 2 [2 0 1 0 ] w h e r e i n a l s o , i t w a s h e l d t h a t c a p i t a l a s s e t w o u l d n o t i n c l u d e a ny a g r i c u l t u r a l l a n d I T A N o . 2 8 3 3 / A h d / 1 6 A / w C O N o . 2 8 / A h d / 1 7 ( D C I T v s . M s . J a n k i H . P a t e l ) A . Y . 2 0 1 0 - 1 1 - 4 - w h i c h i s n o t s i t u a t e d w i t h i n 8 k m s f r o m t h e l o c a l li m i t s o f t h e M u n i c i p a l i t y C o m m i t t e e o r C a n t o n m e n t B o a r d . 3 . 2 . T h e A . O w h i l e r e n d e r i n g t h e o r d e r u / s . 1 4 3 ( 3) r w s 1 4 7 d a t e d 3 0 . 0 3 . 2 0 1 5 h a s m a i n l y w i t h d r a w n t h e e x e m p t i o n o f c ap i t a l g a i n u / s . 5 4 B ( 1 ) ( i ) w h i c h i s a s u n d e r : - ( i ) i f t h e a m o u n t o f t h e c a p i t a l g a i n i s g r e a t e r t ha n t h e c o s t o f t h e l a n d s o p u r c h a s e d / h e r e i n a f t e r r e f e r r e d t o as t h e n e w a s s e t ) , t h e d i f f e r e n c e b e t w e e n t h e a m o u n t o f t h e c ap i t a l g a i n a n d t h e c o s t o f t h e n e w a s s e t s h a l l b e c h a r g e d u n d e r s ec t i o n 4 5 a s t h e i n c o m e o f t h e p r e v i o u s y e a r ; a n d f o r t h e p u r p o se o f c o m p u t i n g i n r e a p e d o f t h e n e w a s s e t a n y c a p i t a l g ai n a r i s i n g f r o m i t s t r a n s f e r w i t h i n a p e r i o d o f t h r e e y e a r s o f U K p u r c h a s e , t h e c o s t s h a l l b e n i l ; o r T h e a p p e l l a n t h a s c l e a r l y s t a t e d t h a t t h e p r o v i s i o n o f s e c t i o n 5 4 B ( 1 ) ( i ) i s o n l y a p p l i c a b l e i n c a s e o f a c a p i t a l a ss e t a n d a s t h e R u r a l a g r i c u l t u r a l l a n d s i t u a t e d a t v i l l a g e S a c h a n a i s n ot a c a p i t a ! a s s e t a n d h e n c e t h e p r o v i s i o n o f s e c t i o n 5 4 B ( 1 ) ( i ) w o u l d n o t a p p l y . F u r t h e r , s e c t i o n 4 5 i s t h e c h a r g i n g s e c t i o n a n d s e c t i o n 4 8 is t h e s e c t i o n f o r c o m p u t a t i o n o f c a p i t a l g a i n a n d b o t h p r o v i s i o n s a r e i n t e g r a t e d w i t h e a c h o t h e r . A s t h e r u r a l a g r i c u l t u r a l l a n d s i t u a t e d a t V i l l a g e S a c h a n a i s n o t a c a p i t a l a s s e t a s p e r t h e d e f i n i t i o n o f s e ct i o n 2 ( 1 4 ) ( i i i ) o f t h e A c t a n d h e n c e , t h e c h a r g e a b i l i t y u / s . 4 5 w o u l d f a i l a n d a c c o r d i n g l y , t h e c o m p u t a t i o n p r o v i s i o n a s p e r s e c t i o n w i l l a l s o f a i l. T h e a p p e l l a n t h a s a l s o p l a c e d r e l i a n c e o n t h e d e c i s i o n o f H o n ' b l e A p ex C o u r t i n t h e c a s e o f C I T v s . B . C . S r i n i v a s a S e t t y r e p o r t e d i n 1 2 8 I T R 2 9 4 a n d B o m b a y H i g h C o u r t i n t h e c a s e o f C a d e l l W e a v i n g M i l l s C o . ( P ) L t d . v s . C I T r e p o r t e d i n 2 4 9 I T R 2 6 5 . T h e r a t i o l a i d d o w n i n t h e a f o r e s a i d j u d g m e n t s i s s q u a r e l y a p p l i c a b l e t o t h e c a s e o f a p pe l l a n t . 3 . 3 . A s p e r t h e s e c t i o n 5 4 B ( 1 ) ( i ) o f t h e A c t , t h e am o u n t o f c a p i t a l g a i n , i f i s g r e a t e r t h a n t h e c o s t o f t h e l a n d p u r c h a s e d an d i f s u c h n e w a s s e t s i s s o l d w i t h i n a p e r i o d o f t h r e e y e a r s f r o m i t s p u rc h a s e , t h e c o s t o f t h e a s s e t s h a l l b e N i l a n d t h e e n t i r e s a l e s c o n s i d e r a t io n o f t h e n e w a s s e t w o u l d b e s u b j e c t t o t a x . I n t h e i n s t a n t c a s e o f a p pe l l a n t a s t h e r u r a l a g r i c u l t u r a l l a n d s i t u a t e d a t S a c h a n a i s n o t a c a p it a l a s s e t a s p e r t h e d e f i n i t i o n o f s e c t i o n 2 ( 1 4 ) ( i i i ) o f t h e A c t r w s 4 5 , t h e c o m p u t a t i o n w o u l d b e a s u n d e r : - ( a ) 9 5 % o f R s . 1 , 8 2 , 3 0 , 6 5 3 / - i . e . ( R s . 1 , 7 3 , 1 9 , 1 2 0 / - B e i n g e x e m p t a s p e r t h e p r o v i s i o n s o f s e c . 2 ( 1 4 ) ( i i i ) o f t h e A c t ) E x e m p t i n c o m e I T A N o . 2 8 3 3 / A h d / 1 6 A / w C O N o . 2 8 / A h d / 1 7 ( D C I T v s . M s . J a n k i H . P a t e l ) A . Y . 2 0 1 0 - 1 1 - 5 - ( b ) L e s s : A s p e r p r o v i s i o n s o f s e c . 5 4 ( B ) ( i ) o f t h e I . T . A c t , 1 9 6 1 , t h e c o s t o f a c q u i s i t i o n ( n e w] R u r a l a g r i c u l t u r a l l a n d a t S a c h a n a , T a l . V i r a r n g a m , D i s t . A h m e d a b a d . N i l ( c ) T o t a l c a p i t a l g a i n o n s a l e o f R u r a l A g r i c u l t u r a l l a n d a t S a c h a n a , T a l . V i r a m g a m , D i s t . A h m e d a b a d N i l A s f r o m t h e a b o v e c h a r t , i t i s c l e a r t h a t t h e s a l e s c o n s i d e r a t i o n r e c e i v e d o n s a l e o f r u r a l a g r i c u l t u r a l l a n d a t S a c ha n a i s e x e m p t a s i t i s n o t a c a p i t a l a s s e t , e v e n i f t h e p r o v i s i o n s o f s e c ti o n 5 4 B ( 1 ) ( i ) i s a p p l i e d a n d t h e c o s t o f t h e a s s e t i s t r e a t e d a s N i l, i t i s h a v i n g n o t a x i m p a c t i n t h e c a s e o f t h e a p p e l l a n t . 3 . 4 . I a g r e e w i t h t h e a p p e l l a n t t h a t t h e R u r a l A g r ic u l t u r a l L a n d s i t u a t e d a t V i l l a g e S a c h a n a i s n o t a c a p i t a l a s s e t a s p e r p r o v i s i o n s o f s e c t i o n 2 ( 1 4 ) ( i i i ) r . w . s 4 5 a n d t h e s a l e s c o n s i d e r at i o n i s e x e m p t . F u r t h e r , a s p e r t h e d e c i s i o n o f H o n ' b l e A p e x C o u r t i n t h e c a s e o f C I T v s . B . C . S r i n i v a s a S e t t y r e p o r t e d i n 1 2 8 I T R 2 9 4 w hi c h i s s q u a r e l y c o v e r e d t o t h e f a c t s o f t h e c a s e o f a p p e l l a n t t h a t s e c t i o n 4 5 c h a r g i n g s e c t i o n w o u l d f a i l a s t h e R u r a l A g r i c u l t u r a l L a n d si t u a t e d a t Vi l l a g e S a c h a n a i s n o t a c a p i t a l a s s e t . T h e r e f o r e , t h e a d d it i o n m a d e b y t h e A . O f o r a n a m o u n t o f R s . 1 , 7 3 , 1 9 , 1 2 0 / - i s d i r e c t e d t o be d e l e t e d a n d t h e p r o v i s i o n s o f s e c t i o n 5 4 B ( 1 ) a r e n o t a p p l i c a b l e i n t h e c a s e o f t h e a p p e l l a n t a s t h e r u r a l a g r i c u l t u r a l l a n d i s n o t a ca p i t a l a s s e t a n d a l t e r n a t i v e l y t h e c a p i t a l g a i n e x e m p t i o n u / s . 5 4 B of R s . 1 , 3 7 , 7 4 , 9 9 7 / - g r a n t e d t o t h e a p p e l l a n t c a n n o t b e w i t h d r a w n . H e n c e, t h i s g r o u n d N o . I o f a p p e a l i s a l l o w e d. ” 8. Ag gri ev ed b y th e r eve rs al of act io n of the A O b y t he C I T( A), the R ev en ue i s i n a ppe al b ef ore t he T r ibu na l. 9. W e h av e ca ref u ll y con si de re d th e ri va l su b mis si on s mad e on beh alf of th e R ev enu e a s w ell as t he a ss es see an d peru se d t he ass es s men t or de r a nd t he f ir st a pp el la t e or der . The mat er ial r ef er red to an d re li ed u po n has a ls o be en per u sed i n te r ms of Ru le 18 (6 ) of the IT AT Ru le s, 1 9 63. Th e qu es ti on t hat ari se s f or d et er mi nat io n i s wh eth er as se ss ee i s l ia ble t o c ap ita l gai n tax h av in g r e gar d t o th e I T A N o . 2 8 3 3 / A h d / 1 6 A / w C O N o . 2 8 / A h d / 1 7 ( D C I T v s . M s . J a n k i H . P a t e l ) A . Y . 2 0 1 0 - 1 1 - 6 - pro vi si on s of S ect ion 2( 14 ) r. w. s. 5 4B of the Ac t in the f a ctu al mat ri x or n ot. 9.1 The is su e i s e ss en ti all y f ac tua l i n n at u re. The a ss es see , i n th e ins ta nt ca se , ha d pur ch as ed a gri cu lt ura l la nd pa rc el s sit ua te d a t Sar kh ej in F .Y . 2 0 06- 07 r ele va nt to F. Y. 20 07 -0 8 o n 2 9.0 3. 20 07 . The af o re sa id a gri c ult ur al l an d par ce ls at Sar kh ej w as s ol d in F .Y . 20 08- 09 re le va nt to A. Y. 20 09 -1 0 o n 1 4.0 5. 20 08 . A c ap it al gai n of Rs .2, 70 ,8 8, 83 4/ - a r ose t o t he as se ss e e o n s al e of the a gri cu lt ura l lan d. Th e as se sse e , in tu rn , pu rch as ed agri cu lt ural la nd a t Sac ha na , Vir a mga m ( ne w a s set ) a nd cla i med d edu ct io n of R s. 1,3 7,7 4, 99 7/ - bei ng c os t of pur c has e of agr ic ult ur a l lan d in A. Y. 2 00 9-1 0 o ut of cap it al g ai ns of Rs. 2,7 0, 88 ,8 34 /- . It w as n ot ic ed b y t he A O th at the af ore sa id a gr icu lt ur al la nd at S ac ha na (ne w a ss et) ha ve b een so ld a t a con si de ra tio n of Rs .1, 82 ,3 0, 68 3/ - wi thi n 14 mo nths o n 22. 02 .2 01 0 in F .Y . 20 09 -1 0 re l eva nt t o A .Y . 20 10 -11 in q ue st ion. T he s ha re of con si de ra tio n (9 5 %) at tri bu ta bl e t o a ss es se e s ta nd s a t Rs . 1,7 3, 19 ,1 20 /- . In t hes e f ac ts , the A O had d is pu te d t he el igi bi li t y of cla i m of ded uc ti on un der s. 54 B of th e Act in th e earl ier year on t he gro un d t ha t th e a ss ess ee ha d so ld th e lan d p arc el s a t Sa c han a ( ne w ass et ) wi th ou t h ol di ng it f or th re e ye a r s f ro m th e dat e of p urc ha se i n vio la ti on of th e co ndi ti on s of Sec ti on 54B of th e Ac t. T he A O th us bro ug ht t o ta x wh o le of sal e co nsi de ra tio n Rs .1 ,7 3,19 ,1 20 /- in A .Y . 20 10- 11 i n qu es ti o n b ei ng t he ye a r of sal e of ne w as se t. 9.2 In th e f act ual bac k dro p n ote d ab ov e, the CIT (A ) on t he bas is of doc u men ta r y e vi den ce s, a gr ee d w it h th e p lea of the as ses se e t hat ne w a ss et i. e. la n d p ar cel a t S ac ha na (n ew as se t) be ing a ru ra l agr ic ul tur al la nd is not a c ap ita l a ss e t as pe r p rovi sio n of Sec ti on 2(1 4) (i ii) r .w .s . 45 B of the A ct a nd c on seq ue nt l y, no c h arg ea bi lit y I T A N o . 2 8 3 3 / A h d / 1 6 A / w C O N o . 2 8 / A h d / 1 7 ( D C I T v s . M s . J a n k i H . P a t e l ) A . Y . 2 0 1 0 - 1 1 - 7 - ari se s i n th e h an ds of the a ss es se e o n sal e of su ch ne w ass et be in g rur al a gri cu lt ur al la nd. 9.3 The as se ss ee h as r ei ter at ed an d de mo n str at ed wit h doc u men ta r y e vi de nce s bef o re u s th at the la nd p ar cels a t Sar khe j as wel l as Sa ch an a (n ew as se t) we re u se d f or ag ri cu lt ura l p urp os es . It was f ur th er de mo nst ra te d t ha t th e agr ic ul tur al l an d sit ua te d a t Vil la ge Sa ch an a i s a bo ut 15 k m awa y f or Vi ra mg a m Talu k a Pa nch a ya t a nd 4 0 k ms a wa y f r o m A h med ab ad Mu ni cip al Co rp ora ti on li mi ts . C ou pl ed w it h t hi s, th e po pu latio n o f Sac ha na Vil la ge lo ca te d a t Vir a mga m Ta lu ka is 38 44 as pe r Ce ns us 20 11 . The ex tr ac t of g oo gle ma p s ho wi ng t he d is ta nc e of Sac han a v il la ge f ro m V ir a mga m Tal uk a P an cha ya t and Ah me da ba d Mun ic ip al Co rp ora ti on wa s a lso pl ac ed o n r ec ord . T he a ss es see ha s a ls o poi nt ed o ut o n f ac t s t ha t the l an d wa s us ed f or ag ri cu lt ur e of cro ps , na mel y, B aj ri a nd Jo war e tc . T he f actu al mat ri x demo nst ra te d b y the a ss ess ee c ou ld no t be su cc es sf ul l y re bu tte d on be h alf of t he Re ven ue . 9.4 Ha vin g r eg ar d to th e af ore sa id f a cts , t he C IT (A), in o ur vie w, has ri gh tl y co nc l ude d t ha t th e a gr icu lt ur al l an d p ar cel s b ei ng sit ua te d in the ru ral a re a is ou ts id e th e pu rv ie w of exp re ssi on ‘ca pi tal as se t’ def i ned in Se ct io n 2 (1 4) of t he Ac t. C o nse qu en tl y, the ru ra l a gri cu lt ur al l an d i n q ue st io n not be in g a ca pi tal ass et is no t sus ce pt ib le to ta x u nde r s .4 5 r .w .s . 4 8 of the A ct. T he ca pit al ga in s ari si ng on s al e of r ura l a gri cu lt ura l l a nd ( ne w as se t) i s t hu s ou ts id e the pu rv ie w of t ax a tio n a t t he th re sh ol d. W e th us se e n o err or in th e con cl us io n dr aw n b y th e CI T( A) in f avo ur of t he as se ss ee . Co ns eq uen tl y, w e d ecl in e t o in te rf ere wit h th e f ir st a pp ell ate o rd er. 10. In th e res ul t, a pp ea l f il ed b y t he R ev en ue is dis mi ss ed . I T A N o . 2 8 3 3 / A h d / 1 6 A / w C O N o . 2 8 / A h d / 1 7 ( D C I T v s . M s . J a n k i H . P a t e l ) A . Y . 2 0 1 0 - 1 1 - 8 - 11. The cr os s ob jec ti o n f ile d b y th e a ss e sse e mer ely s u pp or ts the act io n of t he CI T (A) a nd t he ref or e do es n ot c al l f or s ep ar ate adj ud ic at io n. C on s equ en tl y, th e cro ss obj ec ti on is a ls o d i s mis sed a s inf ru ct uo us i n te r ms of obs er vat io ns i n the s ub st ant iv e ap pea l of the Re ven ue . 12. In th e r es ul t, ap pe a l of t he R eve nu e as we ll as cr os s ob je cti on of th e as ses se e are dis mi ss ed . Sd/- Sd/- (MADHUMI TA R OY) (PRADIP KUM AR KEDIA) JUDICI AL MEM BER ACC OUNTANT MEMB ER A h m e d a b a d : D a t e d 2 4 / 1 1 / 2 0 2 1 True Copy S. K. SINHA ेश ! " #े" / Copy of Order Forwarded to:- $. र / Revenue 2. आ दक / Assessee &. सं'ं() आयकर आय * / Concerned CIT 4. आयकर आय * - अपील / CIT (A) -. . / 0ीय 12 2 ()3 आयकर अपील य अ()कर!3 अ45द ' द / DR, ITAT, Ahmedabad 6. 0 78 9 ल / Guard file. By order/आद श स 3 उप/स4 यक पं ीक र आयकर अपील य अ()कर!3 अ45द ' द । This Order pronounced on 24/11/2021