PURANSINGH M. VERMA Vs. THE C.I.T.

JUDGEMENT

(1.) BY way of Income Tax Reference No. 40 of 2000, the Tribunal on an application by the assessee has referred the following question of law arising out of the order dated 18.11.1996 passed by the Income Tax Appellate Tribunal, Ahmedabad 'B' Bench in ITA No. 2753/Ahd/1990 for the assessment year 1986 -87 for consideration of this Court:

(2.) THE assessee - an HUF firm had filed return of income for the years in question claiming the entire income to be exempted u/s 10(1) of the Act on the ground that the said income was earned from the agricultural nurseries at Baroda in the name and style of M/s. Roses Garden and that the said income therefore represented agricultural income.

(3.) MR . Varun Patel, learned advocate appearing for the revenue in Tax Appeal No. 24 of 2003 submitted that in view of the amendment which is sought to be made by amending act and Explanation 3 which was added with effect from 01.04.2009 clearly indicates that prior thereto such incomes were not included as agricultural income and nursery is not an agricultural produce.