https://www.taxtmi.com/caselaws?id=193195 Agricultural income from cultivation through bargadars is chargeable on a receipt basis: the bargadar's share is treated as received by the owner because it is applied toward remunerating the bargadar, so that share is includible in income. The owner's own share is taxable only to the extent actually or constructively received, and unrealised surplus is not brought to tax absent remission. For unsold paddy consumed by the assessee, rule 4(2)(a) requires valuation at the average local market price during the previous year; the Government procurement rate cannot replace the open market rate where a free market exists. The reference was answered accordingly. en-us Thu, 05 Dec 1957 00:00:00 +0530 Sat, 15 Jul 2017 18:02:32 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=193195 Agricultural income from cultivation through bargadars is chargeable on a receipt basis: the bargadar's share is treated as received by the owner because it is applied toward remunerating the bargadar, so that share is includible in income. The owner's own share is taxable only to the extent actually or constructively received, and unrealised surplus is not brought to tax absent remission. For unsold paddy consumed by the assessee, rule 4(2)(a) requires valuation at the average local market price during the previous year; the Government procurement rate cannot replace the open market rate where a free market exists. The reference was answered accordingly. Case-Laws Income Tax Thu, 05 Dec 1957 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=193195