Exemption in Andhra on transfer of land owing to new state capital :
| CLAUSE(S) OF FINANCE BILL, 2017 |
PARTICUL ARS OF AMENDME NTS | SECTION | AMENDMENT / NEWLY INSERTED |
APPLICABLE W.E.F. |
BRIEF OF AMENDMENT |
| 6 | Exemption in Andhra on transfer of land owing to new state capita |
10 (37A) | New Section | 1/4/2015 | For formation of new state Capital “Amaravati”, government of Andhra Pradesh has acquired land from residents through Land Pooling Schemes. As per Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Reettlement Act, 2014 the specified compensation is exempt from Income Tax. However income tax doesn’t provide such exemption till date. Therefore exemption is provided for the same in this Finance Bill.
1. Exemption is available only to Individual or HUF. 2. Exemption will be available to assessee who owns land or building or both as on 02/06/2014. 3. If a reconstituted plot or land is received by assessee in lieu of acquired land or building, it must be transferred with in two years from end of financial year in which possession of such plot or land was handedover to him to avail Further section 194 LA is also amended to exempt such transaction from TDS applicability. |