GK
TAXES IN INDIA
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Fully taxable
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Partially exempt
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Fully exempt
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None of these
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Detailed explanation-1: -As per section 10(1), agricultural income earned by the taxpayer in India is exempt from tax. Agricultural income is defined under section 2(1A) of the Income-tax Act.
Detailed explanation-2: -Meaning of the term ‘Agricultural Income’ Now, in order to understand the full coverage of exemption provided to agricultural income under section 10(1) of the Income Tax Act, it is important to under the definition / coverage of the term ‘Agricultural Income’. b. The land is used for agricultural purpose.
Detailed explanation-3: -Non-agricultural income is above the basic exemption limit: Greater than Rs 2.5 lakh for individuals below 60 years of age and all other applicable persons. Greater than Rs 3 lakh for individuals between 60 – 80 years of age. Greater than Rs 5 lakh for individuals above 80 years of age.