Should Agricultural Income Be Taxed? Suhana Khan's Registration as "Agriculturist" Sparks Debate
In a surprising turn of events, Suhana Khan, daughter of renowned Bollywood actor Shah Rukh Khan, has made headlines with her recent purchase of farm land in Thal village, Alibaug. The registration documents reveal that the young starlet is officially described as an "agriculturist," leading to speculation and questions about her decision.
According to a report by Hindustan Times, Suhana Khan acquired the property for a staggering sum of ₹12.91 crore. What makes this purchase even more intriguing is the fact that agricultural income is exempted from taxation under sections 10(1) and 2(1A) of the Income Tax Act. This provision has often been exploited by high-net-worth individuals (HNIs), politically connected individuals, and celebrities to evade taxes and potentially launder their black money and wealth.
Given these circumstances, it is only natural to wonder why a talented actress, who works in the film industry as a professional, would choose to register herself as an agriculturist. The decision has sparked discussions and debates about the need to bring agriculture income under the purview of income tax regulations, particularly when it exceeds ₹10 lakhs in a year.
Advocates for tax reforms argue that amending the constitution to grant the central government the authority to tax agricultural income beyond ₹10 lakhs annually would be a crucial step in curbing potential tax evasion and ensuring fairness in the tax system. This move would help to close the loophole often exploited by celebrities and other individuals who use agricultural income as a means to evade taxes.
As news of Suhana Khan's land purchase continues to make waves, it serves as a reminder of the broader issue surrounding agricultural income and taxation. This development has reignited the call for reforms in the tax structure to ensure a level playing field for all taxpayers, regardless of their profession or social standing.
The ball now rests in the court of the Indian government, particularly Finance Minister Nirmala Sitharaman and Prime Minister Narendra Modi, to consider the merits of amending the constitution and granting the power to tax agricultural income beyond ₹10 lakhs per year. As the nation waits with bated breath, the outcome of this debate will shape the future of taxation policies and potentially bring greater transparency and fairness to the Indian tax system.
