List of Income which is Treated as Agricultural Income

Since Agriculture income is exempt under the Indian Income Tax Act which implies that income which is earned from agricultural operations is not taxed and is considered to be tax free. Here is the list of agriculture incomes which are considered as agriculture incomes and therefore not taxed –

1. Incomes from sale of replanted trees.

2. Rent received for agricultural land.

3. Incomes from growing flowers and creepers.

4. Share of profit of a partner from a firm engaged in agricultural operations.

5. Interest on capital received by a partner from a firm engaged in agricultural operations.

6. Incomes derived from sale of seeds.

However government of India can change the laws related to agriculture incomes at any time and can make any item from above list taxable.

2 comments… add one
  • sadanand

    I have 8 acre land which got on lease & grow lac on kusum tree. what income by lac will tax free.

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