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30 Points
Posted on 12 April 2012
Please refer to the caselaw.Commissioner of Income-tax Vs R.Venkataswamy Naidu 1956 29 ITR 529 (SC) .In the said case Supreme court evaded the question whether Income from milk is agricultural income on technical grounds. How ever S.C.cited some caselaws where income from sale of milk was said to be Agricultural Income. However,S.C. abstained from commenting on the rightfulness of the decisions. But the caselaw makes good reading .Please check out the following link.
https://law.incometaxindia.gov.in/DitTaxmann/incometaxacts/2007itact/%5B1956%5D029ITR0529(SC).htm