The central bank focuses on two main goals: keeping prices stable and ensuring there are enough jobs for everyone. When certain events affect different parts of the economy differently, the central bank adjusts interest rates and uses tools to tackle these issues. By lowering or raising interest ratRead more
The central bank focuses on two main goals: keeping prices stable and ensuring there are enough jobs for everyone. When certain events affect different parts of the economy differently, the central bank adjusts interest rates and uses tools to tackle these issues. By lowering or raising interest rates, they can address problems with stable prices and employment.
To make good decisions, the central bank watches things like inflation rates and how much people are getting paid. This helps them decide what policies to use based on how the economy is doing. They also work closely with fiscal policy, which is how the government manages spending and taxes. By working together, these efforts make sure the economy stays strong and balanced.
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Agricultural income in India is different from other income and is kept exempted from taxation under the Income Tax Act. Agricultural income cannot be included in the total computation of income for tax purposes. However, the income tax act indirectly taxes the agricultural income using a method calRead more
Agricultural income in India is different from other income and is kept exempted from taxation under the Income Tax Act. Agricultural income cannot be included in the total computation of income for tax purposes.
However, the income tax act indirectly taxes the agricultural income using a method called partial integration of agricultural income with non-agricultural income. This method taxes the non-agricultural income at higher tax rates.
There is complete rebate on agriculture income in these cases:-
- If your total agricultural income is less than Rs. 5,000 p.a.;
- If the income from agricultural land is the only source of income, i.e., no other income;
- But if your agricultural income exceeds Rs. 5,000 and you have other sources of income, then the tax liability for that year is to be calculated as follows and applicable to Individuals, HUFs, AOPBOIs, and Artificial Judicial Persons.
See lessWhere you have both agricultural income and other income and if the total income excluding such agricultural income is less than the basic exemption limit.