New Delhi: Bharatiya Janata Party (BJP) on December 28 ruled out the possibility of government accepting the Kelkar panel's key recommendations including income tax on agriculture, elimination of standard deduction and incentives for savings.

"The panel has recommended that tax rebate on savings should end, but our government would like to encourage savings and cannot agree to anything that would hurt the salaried class. Our government would also in all probability continue with standard deduction," BJP general secretary Rajnath Singh, who chaired a party panel appointed to study the report, said.

He said the suggestion of bringing income from agriculture within the tax net would never be accepted by the government.

"Nobody's financial interest should be hurt. This is what the Prime Minister is concerned about and hopefully the Finance Minister also thinks on the same lines. It is not necessary for the government to accept the Kelkar panel's recommendations," Singh said.

The former Uttar Pradesh Chief Minister also expressed unhappiness that the panel did not incorporate the party's suggestions as much as it expected.

He said the party panel would submit its recommendations in the report in a week to 10 days' time.

PTI