MEHERBAI N MULLA Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THE issue involved in these references pertains to the applicability of the provisions of s. 45 in respect of certain land sold by the assessees. THE assessees' contention was that the land in question sold by them was agricultural land, while the Revenue was of the view that since the land in question falls within the municipal limits as envisaged under the definition of `capital asset' contained in the IT Act, 1961, the assessee would be liable to capital gains tax.

(2.) AT the time of hearing, the learned counsel for the assessees placed before us a copy of the judgment of this Court in the assessee's own case for the self same year dt. 19th Nov., 1983 in writ petition Nos. 1907 of 1982 and 1908 of 1982 and pointed out that after hearing the submissions of the parties, this Court was pleased to hold that the land in question would not fall within the amended definition of s. 2(14)(ii)(b) of the Act. In this view of the matter, the Court further held that there was no question of charging any tax on the sale of the agricultural lands.

(3.) IN view of the aforesaid position, as the reference has become academic in nature, we return the same unanswered. No order as to costs.