A LOGANATHAN Vs. INCOME TAX OFFICER

JUDGEMENT

(1.) THE points raised in the affidavit filed in support of these cases are identical and as a sample, the grounds raised in Writ Petition No. 324 of 1980 alone need be looked into, Paragraphs Nos. 12, 14 and 16 of the affidavit read as follows:".12. It is submitted that the pith and substance of the Finance Act is to levy tax on agricultural income.

(2.) THIS has been made clear from the Finance Minister's Budget Speech for 1973-74 reported in [1973] 88 ITR(St) 39. The provision for aggregation of agricultural income with non-agricultural income was introduced by the Finance Act, 1973, and it appears from the Finance Minister's Budget Speech for 1973-74 that the object of the aggregation was in effect to tax the agricultural income. The Finance Minister stated as follows in his Budget Speech". As Honourable Members are no doubt aware, the Committee on Taxation of Agricultural Wealth and Income has suggested several measures for mobilisation of resources from the agricultural sector. One of their principal recommendations is that agricultural income should be taken into account in determining the rate of tax applicable to non-agricultural income.

(3.) THE learned judges of the Kerala High Court held as follows: