If a person has the income from bussiness and also have agricultural income in form of share of profits from partnership firm. so how we will compute his taxable income .
Whether this income will be considered as agricultural income of individual and will be included in total income for comuting tax or it will be considered as the income of partnership firm and exempt for individual u\s10
02 December 2014
The tax on profits from the firm is paid by the firm hence exempt u/s 10(2A) . Here the agricultural income is exempted from tax in the hands of firm.
02 December 2014
It means it is exempt for the individual and firm both. because if it is exempt u\s10(2a)then it will be not included in the total income of individual as agricultural income for computing tax.
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