If a firm earns agricultural income, it will be exempt:
A. in the hands of firm
B. in the hands of firm but taxable in the hands of the partners
C. in the hands of firm as well its partners
D. in the hands of the firm as well its partners but would be included in the other income of partners for computation of tax on his other incomes.
Answer:C
If a firm earns agricultural income, it will be exempt:
A. in the hands of firm B. in the hands of firm but taxable in the hands of the partners C. in the hands of firm as well its partners D. in the hands of the firm as well its partners but would be included in the other income of partners for computation of tax on his other incomes.