Agricultural Business Loss

Tax queries 169 views 1 replies

If an assessee has Agriculture Business loss can it be set off against normal business income?

These are the potential options I beleive please opine.

  1. Treating agriculture income as exempt income - so no question of set off
  2. Treating agriculture income as taxable income as per rule (7/7A/7B/8)  and there fore treated at par with business income and there fore set off allowed.

Which of these is correct option? 

Replies (1)

If it is business of agricultural produces, it is taxable; hence second option is correct.


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