The chairman of Prime Minister’s economic advisory council states that the farmers income should also be taxed. He also state this in an article that the farmers income should be taxed and the reason that taxing has not been done till now is due to the political clout of large farmers.
The chairman of the PM’s Economic Advisory Council , Bibek Debroy argues that in the current time villages are described as the richest on the planet. And since the villages are recognized as the richest, why there is no tax on the agricultural income of the farmers? ” he stated that the decision of whether to tax the income of the farmers should rest upon the respective state governments.
Who is Bibek Debroy?
Bibek Debroy is an Indian economist . He is serving as the Chairman of the Economic Advisory Council to the Prime Minister of the India .
The Economist has made notable contributions to the game theory ,economic theory . It also included law reforms railway reforms and income and social inequalities. He was awarded with the fourth highest civilian honour in India i.e. the Padma Shri in 2015.
He further went on in stating that there is a precedent for the taxation of agricultural income by the states.
His Viewpoint On The Tax.
He further added,” Are farmers poorer now than they were in 1947 ? This , too , is meant to be a rhetorical question. If so , why did we have agricultural income tax acts in Bihar ( 1938), Assam( 1939), Orissa(1948) . Further in Hyderabad(1950), Travancore and cochin ( 1951), madras and old Mysore state( 1955) ? Note that in the present geographical compositions , many states retain statutes and their successors. Except for Karnataka, they have not repealed these. They do tax some kinds of agricultural income , especially plantations . “He also states that several government appointed committees have recommended taxing agricultural income . They were Raj Committee on taxation of agricultural wealth and income (1972), report of the taxation enquiry commission ( 1953-1954). Fourth Five Year plan (1969), White Paper on black money (2012) and Tax Administration Reform Commission (2014).
