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No wealth tax on agricultural land- India
April 30, 2013, 9:52 am


Farm income in India is exempt from payment of income tax [AP]

The Indian Government on Tuesday ruled out the imposition of a wealth tax on agriculture land.

This announcement was made despite crucial legislature, the Finance Bill and demands for grants for various ministries being adopted by the lower house of the Indian Parliament on Monday.

Farm income in India is exempt from payment of income tax.

Indian finance minister Palaniappan Chidambaram also exempted Indian railways from payment of service tax for the period between July, 1, 2010 to October 1, 2012.

Making a brief statement while moving the Finance Bill for voting, the minister introduced an amendment on the issue of wealth tax in view of misapprehensions as to whether it will apply to agriculture land.

“There was apprehension that wealth tax was being imposed on agricultural land. Let me make it absolutely clear that the policy of the UPA government is not to impose wealth tax on agriculture land,” said Chidambaram.

Source: Agencies