https://www.taxtmi.com/caselaws?id=35787 Agricultural income under the taxing statute depends on land being used for agricultural purposes and income arising from basic agricultural operations such as cultivation, sowing or planting. Mere classification of land as dry land in revenue records is not conclusive, and subsequent or ancillary activity alone is insufficient without foundational agricultural use. On the facts, there was no evidence of cultivation or other basic operations for decades, so the lands were not shown to yield agricultural income. As compounding is only a substitute for tax otherwise payable on such income, no agricultural income-tax liability arose capable of being compounded, and the revised compounding orders were set aside. en-us Fri, 12 Oct 1979 00:00:00 +0530 Tue, 16 Mar 2010 16:11:07 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=35787 Agricultural income under the taxing statute depends on land being used for agricultural purposes and income arising from basic agricultural operations such as cultivation, sowing or planting. Mere classification of land as dry land in revenue records is not conclusive, and subsequent or ancillary activity alone is insufficient without foundational agricultural use. On the facts, there was no evidence of cultivation or other basic operations for decades, so the lands were not shown to yield agricultural income. As compounding is only a substitute for tax otherwise payable on such income, no agricultural income-tax liability arose capable of being compounded, and the revised compounding orders were set aside. Case-Laws Income Tax Fri, 12 Oct 1979 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=35787