CBDT offers income tax relief to sugar manufacturers
CBDT offers income tax relief to sugar manufacturers Centre's intervention provides succor to sugar mills and farmers The Central Board of Direct Taxes (CBDT) has issued a notification saying sugar manufacturers will not be subjected to income tax on the payment amount made to farmers that is higher than the fair price remuneration fixed by the government. The clause is applicable...
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CBDT offers income tax relief to sugar manufacturers
Centre's intervention provides succor to sugar mills and farmers
The Central Board of Direct Taxes (CBDT) has issued a notification saying sugar manufacturers will not be subjected to income tax on the payment amount made to farmers that is higher than the fair price remuneration fixed by the government. The clause is applicable from 2016.
The Board clarified that the matter had been examined and the "price fixed or approved by the government" includes price fixation by state governments through state-level Acts/Orders or other legal instruments that regulate the purchase price for sugarcane.
Sugar manufacturers had been receiving notices from the Income Tax Department for three to four decades.
