agricultural land situated in urban area is liable for wealth tax

[alex thomas theruvath]

whether agricutural land situated in urban area is exempt from wealth tax

AI Summary

Debate on wealth tax for urban agricultural land under Indian law: Section 2(ea) vs. Section 2(e)(1) exemptions. A discussion on whether agricultural land located in urban areas is subject to wealth tax reveals differing interpretations under Indian law. The query highlights a concern about tax liability for such land. A respondent clarifies that, according to Section 2(ea), urban land is considered an asset and is taxable. However, Section 2(e)(1) exempts agricultural land from being classified as an asset, thus making it non-taxable. The discussion references a provision effective from April 1, 1983, which maintains that agricultural land, along with growing crops and trees, remains exempt from wealth tax.