Section 10(1) of the Income-tax Act, 1961 exempts agricultural income from income-tax. However, net agricultural income is added to the total non-agricultural income computed as per income-tax Act, for the purpose of determining the income-tax on non-agricultural income of an individual, HUE, AOP/BOI or an artificial juridical person, although the agricultural income will remain fully …
In the following Cases, Instances of Agricultural and Non-Agricultural Incomes are described in details with examples. Instances of Agricultural Income: In the following cases, income is held as agricultural income: If denuded parts of the forest are replanted and subsequent operations in forestry are carried out, the income arising from the sale of replanted trees. …
Instance of Income held to be Agricultural / Non-Agricultural Income Read More »
Tax Treatment of Partly Agricultural and Partly Non-Agricultural Income Tax Treatment of on Composite Business Income i.e. Partly Agricultural and Partly Non-Agricultural Income as per Rules 7, 7A, 7B, 8. For disintegrating a composite business income which is partly agricultural and partly non-agricultural, the following rules are applicable— Income Non-Agricultural Income Agricultural Income Income Tax …
Tax on Non-Agricultural Income with partial Agricultural Income As already discussed, there is no tax on agricultural income but if an assessee has non-agricultural income as well as agricultural income, such agricultural income is included in his Total Income for the purpose of computation of income-tax on non-agricultural income. This is also known as partial …
Tax on Non-Agricultural Income if the Assessee earns Agricultural Income also Read More »
