| Case ID |
2c23f774-8a94-4aad-a04a-bc8be3fde0cc |
| Body |
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| Case Number |
D-2741 of 2016 |
| Decision Date |
Jan 01, 1953 |
| Hearing Date |
Jan 01, 1953 |
| Decision |
The court held that the fees collected by the assessee from owners of cattle for allowing them to graze on forest lands covered by jungle and grass was agricultural income and thus exempt from income tax. The decision was based on the principle that rearing cattle is closely linked to agricultural activities. The court emphasized that even though the assessee did not personally cultivate the grass, the income derived from the right to graze cattle on the land was fundamentally agricultural in nature. The ruling reinforced the understanding that income from pasturage qualifies as agricultural income under the relevant sections of the Income-tax Act. |
| Summary |
The case revolves around the definition of agricultural income under the Income-tax Act, 1961. The Allahabad High Court examined whether the fees charged by the assessee for grazing cattle on forest land constituted agricultural income. The court concluded that pasturage, even without direct cultivation, is intrinsically linked to agricultural operations. This decision is significant for understanding how income derived from land used for grazing livestock is treated under tax laws. It highlights the nuances of agricultural income and the exemptions provided under the law, thereby offering clarity for similar cases in the future. The ruling aligns with precedents that recognize the agricultural nature of income from livestock management. |
| Court |
Allahabad High Court
|
| Entities Involved |
Not available
|
| Judges |
Malik, C.J.
|
| Lawyers |
S.C. Das,
S. Kalbe Abbas
|
| Petitioners |
Commissioner of Income Tax
|
| Respondents |
R.B. Rai Shamsherjang Bahadur
|
| Citations |
1953 SLD 295,
(1953) 24 ITR 1
|
| Other Citations |
Mahendralal Choudhari v. CIT [1949] 17 ITR 454,
Benoy Ratan Banerjee v. CIT [1947] 15 ITR 98,
CIT v. Maharaja of Darbhanga [1935] 3 ITR 305 (PC),
Emperor v. Probhat Chandra Baraa AIR 1924 Cal. 668,
Raja Ali Khan v. CIT [1945] 13 ITR 98 (Oadh.),
Yavaraja of Pithapuram v. CIT [1946] 14 ITR 92 (Mad.)
|
| Laws Involved |
Income-tax Act, 1961,
Indian Income-Tax Act, 1922
|
| Sections |
2(1A),
10(1),
2(1),
4(3)(viii)
|