liable to income tax or not

[Dalia Felix]

Suppose a company engaged in farming are exporting their produces after grading, sorting, preserving and packing - will the income be subjected to Income Tax or is exempted as agricultural income.

AI Summary

Agricultural income exclusion: processing by a company does not convert receipts into exempt agricultural income, so they are taxable.
Receipts from grading, sorting, preserving and packing qualify as agricultural income only when those marketability processes are performed by the cultivator or a landlord receiving produce as rent-in-kind; identical processes performed by a company do not fall within the definition and therefore are not agricultural income.