June 30th, 2010 
admin 1. My share of agricultural inheritance is being sold along with those of my siblings.
2. There is a single buyer.
3. The govt. considers the land as agricultural, although it has significantly higher industrial value now; which is why the buyer is buying it.
4. The buyer only is willing to pay the govt. acknowledged value as the sale deed value. The balance is being pay’d as cash.
So.
a) After the sale is over, can I just declare the extra cash ammount as proceeds from inheritance sale and deposit into my account?
b) I am willing (and should) pay the appropriate capital gains. From what I understand, capital gains are assessed differently for proceeds of sale of agricultural land. I have no other income in India.
c) If I reinvest the declared cash amount in property, will there be any capital gains on that cash component?
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