section 54G

[d.v. gupta]

SIR,

WHAT IS MEAN BY RURAL  AND URBAN AREA UNDER SECTION 54 G. IS THERE SPECIFIC LIST OR AS PER MUNICIPAL CORPORATION OF SAID AREA.

[Surender Gupta]

If you read section 54 carefully, you will find the definition of urban area in the explanation below sub section (1)(iii). The definition of urban area is being reproduced as:

Explanation.—In this sub-section, "urban area" means any such area within the limits of a municipal corporation or municipality as the Central Government may, having regard to the population, concentration of industries, need for proper planning of the area and other relevant factors, by general or special order, declare to be an urban area for the purposes of this sub-section.

AI Summary

Urban area definition: central government may declare municipal limits as urban for tax provisions based on specified factors. An urban area under the income-tax provision means any area within municipal corporation or municipality limits which the Central Government may declare urban by general or special order, having regard to population, concentration of industries, need for proper planning and other relevant factors; areas not so within or declared are treated as rural for the provision's purposes.