https://www.taxtmi.com/caselaws?id=36697 Section 4(2) of the Agricultural Income-tax Act, 1950 was held unconstitutional because it deemed agricultural income derived by a possessory mortgagee to be the mortgagor's income and fastened tax liability on a person who neither derived nor controlled that income. The classification of mortgagors under possessory mortgages had no rational basis, and the provision also created serious practical difficulty in return filing and assessment since the mortgagor may not know the produce received by the mortgagee. The section was therefore discriminatory and void for violating Article 14 of the Constitution. en-us Wed, 13 Feb 1980 00:00:00 +0530 Wed, 24 Mar 2010 10:45:53 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=36697 Section 4(2) of the Agricultural Income-tax Act, 1950 was held unconstitutional because it deemed agricultural income derived by a possessory mortgagee to be the mortgagor's income and fastened tax liability on a person who neither derived nor controlled that income. The classification of mortgagors under possessory mortgages had no rational basis, and the provision also created serious practical difficulty in return filing and assessment since the mortgagor may not know the produce received by the mortgagee. The section was therefore discriminatory and void for violating Article 14 of the Constitution. Case-Laws Income Tax Wed, 13 Feb 1980 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=36697