Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
Popular Search: ARTICLES ON INPUT TAX CREDIT IN VAT :: Central Excise rule to resale the machines to a new company :: form 3cd :: ACCOUNTING STANDARDS :: empanelment :: TDS :: VAT RATES :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: ACCOUNTING STANDARD :: cpt :: VAT Audit :: due date for vat payment :: TAX RATES - GOODS TAXABLE @ 4% :: list of goods taxed at 4% :: articles on VAT and GST in India
News Headlines »
 CBDT issues second round of Certificates of Appreciation to tax payers for their contribution towards Nation building
 FinMin looks at cut in corporation tax
 Draft Rules for prescribing the method of valuation of fair market value in respect of the trust or the institution-Chapter XII-EB of the Income-tax Act, 1961- reg.
 India is moving towards a flawed GST
 ICAI to organise two-day international conference in Hyderabad
 Here's how to calculate tax payable on your capital gains
 Income Tax calculations for the financial year 2016-17
 CPE Events 17 October - 22 October 2016
 High Court raps I-T Department for wrong tax demand
  CBDT signs 5 advance pricing pacts with Indian taxpayers
 Finance ministry warns tax officials of action against GST protest

Govt may farm tax carrots to lure corporates to fields
May, 10th 2007
Call it Impact Retail. In a move that could provide a huge boost to backward linkage between industry and agriculture, certain agricultural zones may receive tax holidays on the lines of standard incentives available to industrial units.

The government is considering a proposal to grant 5- to 10-year tax holidays in semi-arid and arid regions of the country to attract corporate investments in the farm sector. The incentives will be available for companies investing in contract farming.

Proposed incentives include a weighted deduction of 150% for expenditure incurred in the development of farm lands in semi-arid regions and 200% for such expenditure in arid regions of Rajasthan and Gujarat. Besides, investment in the areas may also be considered for cheaper loans from banks as part of their priority sector lending scheme.

The proposed move is part of a long-term agricultural strategy being finalised by the government to increase the growth rate of the sector currently below 2% and achieve the targeted 4% growth during the 11th Five-Year Plan. The proposal is expected to be considered for approval by the National Development Council at its meeting on May 29.

Once approved, the move would encourage large companies such as ITC, Reliance and Bharti to increase their exposure to the agricultural sector. It would also encourage development of farming infrastructure in dry areas that contribute 40% of total food production at present.

About 60% of the countrys net cultivated area is rain-fed or dry area where increasing agricultural production is a challenge every year. Private investment through a public-private partnership (PPP) model is now being considered to augment resource flows in development of rain-fed areas and also for bringing more disused areas under cultivation, a source in the government said.

The idea is to offer sops to private sector investors for increasing production in cultivable arid and semi-arid areas and bringing degraded land under cultivation. As per government estimates, of the total land area, 43% is cultivable while 45% is degraded land.

Companies would also be encouraged to participate in decentralised models facilitating value addition at the farmers level and further processing at the industrial level, a source said. Appropriate models focusing on site, industry and location-specific considerations are to be developed for implementation by the private sector.
Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Article Management Solutions System Article Management Software S

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions