Background

From the earlier times, the economy of India was purely based on the Agriculture, thus the land revenue was the prominent and pivotal source of state income. The first land settlement operation was introduced in 16th century by the then ruler of Delhi Sher Shah Suri. He innovated the ideas, and later on his vision was further streamlined, during the reign of Akbar when his prominent Minister, Todar Mal re-organized the entire land revenue system. This system was such progressive that the Britishers also inherited and continued it, but made certain changes for betterment. The permanent settlement was conducted by Lord Cornwallis in Bengal in 1793 AD. The changes made during the British rule, developed two major types of land revenue systems.