How to save 100% income tax? CA's video on selling grass goes viral after Budget: Watch video

In a surprising twist, a loophole circulating on social media suggests that salaried individuals in India could save 100 percent of their income tax by growing and selling grass to their employers. A video shared by a CA has gone viral on social media, where he has explained how to save 100 percent tax by following three simple steps. The video has already garnered nearly 4 lakh views and nearly 400 likes.

How to save 100% tax: The Satirical Hack

Shrinidhi Handa, an analyst and travel blogger from Udupi, Karnataka, shared this unconventional idea online. His satirical advice outlines a three-step process to avoid income tax:

"Step one, you have to grow grass," Handa explains in his video. "You can do this in your home, on your balcony, or on your terrace. And it is a very, very legal process.


Step two: Tell your HR you don’t want any salary. They would be happy.

Step three. Tell your HR that your company should buy grass from you to the tune of your salary. If your salary is Rs 50,000, maybe they can buy 50 strands of grass for ₹1,000 each. Completely legal process."

The Logic Behind It

Handa claims that by following these steps, one's income from salary would effectively become zero. He points out that income from the sale of agricultural produce is not considered taxable.

“This way you can save 100 percent on income tax. No need to worry about TDS. No need to worry about investment. Very, very easy. Legal, simple process,” he says.

Reactions and Reality Check

The video gained further attention when it was re-shared by chartered accountant Akhil Pachori, who seemed impressed by the idea. The concept has sparked a mix of disbelief and curiosity among viewers. Some believe there must be a catch to this seemingly straightforward hack.

One social media user predicted a government intervention, stating, "If this is implemented in the next assessment year, Finance ministry will release a notification that grass purchased by company is outside the ambit of agriculture income and taxable at the rate of 20 percent."

The viral nature of this hack highlights the ongoing discussion about India's tax system and the creative, albeit humorous, ways people seek to navigate it.