Agricultural income of government employee

This query is : Resolved

Karan Verma (Querist)
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20 October 2018 Can a PCS - State Government Employee hold agricultural land. Land is already held by him before he was PCS officer and all the workings related to agriculture is being done by his family member and agricultural income is directly credited to Original owner (PCS officer), no time devoted by Government officer.
I want to ask if he can hold agricultural land in this form and show in ITR, income from agriculture which is directly credited to his account less expenses given by him as agricultural income and salary from state government under head salary?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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20 October 2018 Yes he can hold agricultural land and show agricultural income in ITR.

KAVIRAJA ADDANGADI

KAVIRAJA ADDANGADI (Expert)
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21 October 2018 agriculture income can be shown under income from agriculture.

As per Section 10 (1), tax on agricultural income still persists in the state level if the mentioned income exceeds INR 5000 per year and if the total income excluding agricultural income is more than the basic exemption limit. For firms, non-individuals and companies it is easier to pay the associated tax as the tax is charged at a flat rate on the chargeable income. For salaried individuals, it might increase the tax they need to pay because of the aggregation of income.

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