Assertion (A) : Agricultural income is taxed by the Union Government. Reason (R) : Agriculture is a…
The Union's income-tax field excludes agricultural income under the relevant constitutional division, while agriculture is in the state field. Thus the agricultural-income…
Choose your answer
Assertion (A) : Agricultural income is taxed by the Union Government.
Reason (R) : Agriculture is a State subject.
Answer and explanation
Correct answer D
The Union's income-tax field excludes agricultural income under the relevant constitutional division, while agriculture is in the state field. Thus the agricultural-income assertion is false and the stated state-subject reason true, with the distinction between subject matter and particular tax entries retained.
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UGC NET Economics