Connect with us

THE ASIAN POST

Time Period Of Sale Agreement

Time Period Of Sale Agreement

The residual consideration of paragraph 10 lakes was paid on 29.09.2008, so that it was indisputable that this part of the consideration was paid by assessee at the time of the agreement of 11.04.2007. Ownership of the land was also handed over in part to the Assessee and, therefore, the land was available to the Assessee for fun. It is also indisputable that after the handover of the property to the Assessee, the expert carried out some development work and that the aforementioned expenses were not approved by AO on the grounds that they were before the execution of the deed of sale of 13.04.2010. There is no controversy as to whether section 42 of the Rajasthan Tenancy Act 1955 prohibits the sale, gift or inheritance of agricultural land by a member of the intended caste for the benefit of a person who does not belong to the intended caste, but if the land has been converted into non-agricultural use for the purpose of transferring agricultural property. There is no doubt that the provisions of section 42 of the Rajasthan Tenancy Act are not applicable once the land has been converted to non-agricultural use. 3. Before us, the Ar de l`Assessee has announced that Assessee has acquired agricultural land in the village of Newata, Tehsil Sanganer, Jaipur von Mohan, Laxman, Ramu, Jagdish and Prabhu with an area of 2.74 hectares for the contract for the sale of 50 empty lakes of 11.04.2007. The expert took possession of the land within the meaning of the contract and paid a purchase underperformance. This. AR argued that, in the accounts, the expert had made the land unavailable as an agricultural country. Subsequently, through the country`s sellers/owners, the expert applied to the Jaipur Development Authority (JDA) for the conversion of agricultural land into arable land.

The conversion fees are paid by the Assessee and debited from the land account. As a result, on 3.02.2010 and 05.02.2010 respectively, the Jaipur Development Authority (JDA) adopted the conversion of land in the name of the original landowner. Subsequently, the deed of sale was executed by the owners of the land for the benefit of assessee on 13.04.2010. The auditor sold the farm land on an area of 18,897.50 m² on 07.03.2011 to M/s Sona Engineering Pvt. Ltd. for consideration under paragraph 1.88.97.500/and land with an area of 1.16 hectares, converted into 13.594 square miles, on 04.05.2011 to M/s Galaxy Greem Power Pvt. Ltd. for a counterpart of the rating 2,30,88,000/-. The capital gain on the disposal of these two sales was proposed as a long-term capital gain for the investment years 2011-12 and 2012-13 respectively.

The RA referred to clause 5 of the agreement and prefabricated that the physical possession of the land was handed over to assessee in accordance with clause 3 of the agreement of 11.04.2007. The sellers of the land agreed that the deed of sale be executed as ordered by the expert. Therefore, the transfer of land from the original owners to assessee has been completed in accordance with Article 2 (47) (v) of the Law and the holding period must therefore be taken into account from 11.04.2007 and not from 13.04.2010. It also argued that, in accordance with section 53A of the Transfer of Property Act, where the assignee has taken possession of the property in partial performance of the contract and is willing to perform its part of the contract, disregarding it for the enforcement of all rights in the assets taken over or held by the buyer, is excluded against the transmitter. It appears from the agreement of 11.04.2007 that the expert took possession of the property and was ready to fulfill his part of the contract . . . .

Continue Reading
Advertisement
You may also like...

More in

To Top