The Meaning And Concept Of Agricultural Income Finance Essay

Download .pdf, .docx, .epub, .txt
Did you like this example?

Agricultural income is exempt under the Income Tax Act, which means that income earned from agricultural operations is not taxed. Agricultural income has been defined under section 2 clause 1A of the Income Tax Act. As per Section 2 (1A), ‘Agricultural Income’ means [1] : Any rent or revenue derived from land which is situated in India and is used for agricultural purposes. Any income derived from such land by agricultural or the performance by a cultivator or receiver of rent-in-kind of any process ordinarily employed by a cultivator or receiver of rent-in-kind to render the produce raised or received by him fit to be taken to market or the sale by a cultivator or receiver of rent-in-kind of the produce raised or received by him, in respect of which no process has been performed other than a process of the nature described in paragraph (ii) of this sub-clause ; any income derived from any building owned and occupied by the receiver of the rent or revenue of any such land, or occupied by the cultivator or the receiver of rent-in-kind, of any land with respect to which, or the produce of which, any process mentioned in paragraphs (ii) and (iii) of sub-clause (b) is carried on : Provided that the building is on or in the immediate vicinity of the land, and is a building which the receiver of the rent or revenue or the cultivator, or the receiver of rent-in-kind, by reason of his connection with the land, requires as a dwelling house, or as a store-house, or other out-building, and the land is either assessed to land revenue in India or is subject to a local rate assessed and collected by officers of the Government as such or where the land is not so assessed to land revenue or subject to a local rate, it is not situated in any area which is comprised within the jurisdiction of a municipality (whether known as a municipality, municipal corporation, notified area committee, town area committee, town committee or by any other name) or a cantonment board and which has a population of not less than ten thousand according to the last preceding census of which the relevant figures have been published before the first day of the previous year ; or in any area within such distance, not being more than eight kilometres, from the local limits of any municipality or cantonment board referred to in item (A), as the Central Government may, having regard to the extent of, and scope for, urbanisation of that area and other relevant considerations, specify in this behalf by notification in the Official Gazette This paper will be structured so as to understand the meaning behind the above mentioned provisions. It shall broadly be divided into rent on revenue derived from land income derived from agricultural land for agricultural operations income from farm building once this understanding is gained, the researcher would dwell upon what would amount to agricultural income and what would not amount to agricultural income as well as income that would amount to part agricultural and part business and would end by discussing the understanding that the researcher has gained with regard to the ‘meaning and concept of agricultural income’

Do you want to see the Full Version?

View full version

Having doubts about how to write your paper correctly?

Our editors will help you fix any mistakes and get an A+!

Get started
Leave your email and we will send a sample to you.
Thank you!

We will send an essay sample to you in 24 Hours. If you need help faster you can always use our custom writing service.

Get help with my paper
Sorry, but copying text is forbidden on this website. You can leave an email and we will send it to you.