The annual income limit for the purchase of agricultural land is Rs. 2 lakhs to 25 lakhs. Non-farmers are required to get the permission of the Deputy Commissioner of Districts instead of the Assistant Commissioner under section 80 for the purchase of agricultural land.
1) Here is all the information you need to know about the Karnataka Land Reforms Act (2020) and related laws if you're looking to purchase agricultural land in Karnataka.
In the state of Karnataka, both Indian nationals and non-resident Indians (NRIs) are permitted to buy non-farming land. However, purchasing an agricultural property comes with a lot of restrictions. Before 2015, a peasant from the state of Karnataka who had a history in agriculture and ownership of agricultural property was the only person who could buy agricultural land. In Karnataka, people who had no agricultural land or made more than two lakhs a year from non-agricultural enterprises are referred to as non-agriculturists. As a result, before to 2015, a non-agriculturist was unable to buy agricultural property in Karnataka.
In 2020, Karnataka repealed a long-standing law that made it illegal for non-agriculturalists to buy and sell agricultural land. In Karnataka, there are no longer any restrictions on who can own farms, including corporations, academic institutions, and institutions without an agricultural
2) How is your agricultural revenue taxed?
As per section 10(1), agricultural income earned by the taxpayer in India is exempt from tax.
Due to restrictions in Karnataka, a number of wealthy individuals bought real estate in neighbouring Andhra Pradesh and Tamil Nadu. Numerous locals in and around the Anekal region own city property as a result of Tamil Nadu's policies favouring agriculture and proximity to Bengaluru.
In 2022, Karnataka will have 98.95 million acres of agricultural land, most of which would be owned by households who have stopped farming, leaving 22 million acres of uncultivated land. Under the 1974 A&B regulations, purchasers were required to provide false information to tax authorities. In order to expedite the transfer of agricultural plots, sections 79 A, B, and C were removed and Section 63 was modified to allow a family or individual to purchase more property. Limitations have been loosened so that farmers can obtain more.
3) What is guidance value and government land rates in Bangalore The Karnataka state government reportedly planned to reduce the guideline value of real estate in Bangalore by 10% beginning on January 1, 2023. This is a huge relief for the city's real estate market, which has been struggling since the consequences of the pandemic and lockdown. But did you know that Bangalore's guidance value is calculated? Find out how to determine the property guideline value in Bangalore by looking at the conventions and rules for determining the sub-registrar guideline value in Bangalore in 2023.
4) What does the Land Reform Act's Section 79 A and B mean?
a) Section 79A * The Karnataka Land Reforms Act (1961)
Any household earning more than Rs. 2 lakhs annually from sources other than farming is not permitted to acquire agricultural land
* The Karnataka Land Reforms Act (2020) The category for non-agricultural land purchases has been eliminated, and the yearly income ceiling has increased from Rs. 2 lakh to Rs. 25 lakh.
b) Section 79B * The Karnataka Land Reforms Act (1961)
Non-farming families are not allowed to possess agricultural land in Karnataka.
* The Karnataka Land Reforms Act (2020)
The category for non-agricultural land purchases has been eliminated, and the yearly income ceiling has increased from Rs. 2 lakh to Rs. 25 lakh.