P SUBRAMANIAN Vs. STATE OF KERALA

JUDGEMENT

(1.) These Revision Cases filed under Section 78 of the Kerala Agricultural Income Tax Act, 1991 (hereinafter referred to as 'the Act') arise from the common order of the Tribunal, confirming denial of exemption from liability to pay agricultural income tax to the petitioner/assessee for the four assessment years 1996-96, 1997-98, 1998-99 and 1999-2000. Petitioner has a total extent of 8 acres of land out of which only 7 acres are cultivated and so much so, petitioner is completely exempted from payment of agricultural income tax, under proviso to Section 3(1) of the Act, is the case of petitioner. However, the authorities below including the Tribunal held that the holding limit for getting exemption from agricultural income tax during the relevant years is 3 hectares and since the petitioner has a total holding of more than 3 hectares, he is liable to pay tax.

(2.) In order to appreciate the contentions raised, we have to refer to the relevant provision of the Statute and in this regard we extract hereunder Section 3(1) of the Act with the proviso thereunder:

(3.) Charge of Agricultural Income tax -- (1) Tax at the rate or rates specified in the Schedule to this Act shall be charged for each assessment year in accordance with and subject to the provisions of this Act, on the total agricultural income of the previous year of every person.