Commissioner Of Income-Tax vs M.L. Mahajan

1. The question that arises in these transferred cases reads thus :

"Whether, on the facts and in the circumstances of the case, the Tribunal was right in law in holding that the capital gain arising on the sale of agricultural land situated in the municipal limits of Pathankot is not taxable under the Income-tax Act, 1961 ?"

2. It is not in dispute that the question must now be answered in the negative and in favour of the Revenue in the light of the judgment of this court in Singhai Rakesh Kumar v. Union of India [2001] 247 ITR 150 ; [2001] 1 SCC 364.

3. The references are allowed accordingly and the transferred cases disposed of.

4. No order as to costs.