If the reports coming in are to be believed, Union Government is contemplating the levy of Income Tax on Agricultural Income. Niti Aayog member Vivek Debroi has proposed this tax so as to avoid the black money flow in the name of Agricultural Income.
He proposed to take the average of three years income to arrive at the tax. But then, this idea can be dangerous when 70% of the people in the country depend on agriculture and their incomes are highly volatile and are prone to natural calamities, instability in prices and other factors.
On one side, there are demands for schemes like Loan Waivers to save the farmers and on the other side, if the government is considering to tax Agricultural income, then it will be a suicidal step for the BJP led central government.
