Pankaj Arora (Learner) (3134 Points)
10 July 2019
Pankaj Arora
(Learner)
(3134 Points)
Replied 10 July 2019
Bhavesh Gadhvi
(Manager)
(308 Points)
Replied 10 July 2019
As per Section 10(1) of the Income Tax Act, 1961, agricultural income is exempted from taxation.
There is no specific restriction over any assessee earning agricultural income.
Suresh Thiyagarajan
(Student)
(3986 Points)
Replied 10 July 2019
1. As per sec 10(1), agriculture income will not be exempt from payment of tax. As per sec 2(14) capital asset does not include Rural agricultural land. Hence any gain arising out of the sale of such land will not be subject to capital gains tax.
2. The above provision also applies to Companies. So either of the income will not be taxable.
Please correct me if the above solution has an alternative view.
rishi
(student)
(408 Points)
Replied 10 July 2019
CAclubindia
