Government has indicated that action could be taken against people who are trying to conceal taxable income as agricultural earnings.
Speaking in Rajya sabha on Tuesday, Finance Minister Arun Jaitley said many prominent people are doing this.
Several opposition memberscited reports that large amounts of black money were being shown as agriculture income.
Sharad Yadav of JD (U) said reports suggested that Rs.2,000 lakh crore of income has been concealed as agriculture earnings.
Jaitley said anyone abusing the provisions of the Income Tax Act could be investigated and proceeded against.
Under the existing norms, agricultural income is exempted from income tax.
Some members alleged that the government might be thinking of starting to tax the farm incomes henceforth.