A field experiment was conducted during 1997 98 to 1999 2000 to work out the effect of residue incorporation of rice (Oryza safiva L.), soybean [Glycjne max (L.) Merr.] and groundnut (Arachis hypogaea L.) and nitrogen requirement of succeeding wheat (Triticum aestivum L. emend. Fiori Paol.) crop. An increasing trend was recorded in wheat yield and organic carbon content in soil with the incorporation of crop residue. Incorporation of groundnut residue showed higher rate of increase in grain yield of wheat than soybean and rice. Improvement in grain yield of wheat was observed with application of higher dose (150 kglha) of nitrogen. In general, positive improvement in soil fertility status was recorded with residue incorporation. The crop sequence of wheat followed by rice produced highest net return and benefit :cost ratio. Similar trend was also noticed with removal of residue and application of higher dose of nitrogen.