Section 10(37) of the Income-tax Act, 1961 - Capital gains - Income from transfer of agricultural land by way of compulsory acquisition - Assessment year 2009-10 - Assessee's agricultural land was acquired under Land Acquisition Act, 1894 - Amount of compensation fixed by Land Acquisition Collector was not acceptable to assessee - After some negotiations, it was agreed by Techno Park for whom property in question was acquired to pay an enhanced amount of compensation - Assessing Officer denied exemption under section 10(37) on capital gain on aforesaid transfer holding that it was not a case of compulsory acquisition but that of voluntary sale to concerned party - Whether it was a case of compulsory acquisition as entire procedure prescribed under Land Acquisition Act was followed and merely because assessee negotiated with party for whom property was acquired and arrived at amicable settlement to receive enhanced amount of compensation, it would not change character of acquisition from that of compulsory acquisition to voluntary sale so as to deny exemption under section 10(37) to assessee - Held, yes [In favour of assessee]
