Income From house Property

I
Rental ② house is during Treatment of unrealized Rent
income of house
property shall be taxable If vacant the yeal then GAV
>
-

Unrealised deducted
if
following conditions are .
satisfied Rent shall be from Actual Rent

& should (land Building Both] I=

Case 1 ER AR + VR - ER AR +VR If following conditions satisfied :
property
There be house $ - Case 2 are
-

-
② Assesse should be d ④ The
own of house
property tenancy is
bonafide .

③ Assesse does not use the same

for own
Busines &
GAV
& The
defaulting tenant has vacated the
property
profession
.

③ The of other
tenant is not in
occupation any property -

# [sec24(b)] ④ The assessee has taken all the

reasonable steps for
mecovery
Types of house
property Interest House loan
property
. .

on

↓ x ④ It is allowed
, If loan is taken for purchase construction
ete
, #
Recy of ised
Rent of Rent
Let out self occupied property Repair .

O
2 It is allowed on due basis unlike municipal taxes
(LOP) ↓ (SOP) Taxable Amount
Recovery x 70 % [Beco2 30 % Sid deduction]
-
=

property
·

For
Used
k ↓
·

fo Interest on HP loan Other Expenses : -

Are not allowed as deduction
Fully own Residence Own business

taxable Ou Difference blu unrealized Arreal of rent

$
profession $
. .
K
[up to
>
LOP houses]
.

SOP 2
Unrealised Rent Arrears Of Rent
ocon 2 > 2 House ↓ ,
↓--
House
property Property Ignore . All Interest
- -
allowed Rent which could be realized ① If Rent are revised

↓ No limit special
-
- -
case General case
- -
Fran tenant But If
Subseq vently
retrospectively
↓ ↳
.

↳ A
realized taxed in PY OF
Take NAV get &
NIL
Any & HP
Remaining HP Rent unde
dispute
,

A Max 200 ,
000
per Max 30 000 ,
receipt .

Treat as Deemed LOP co-owner If Co-owner is called as arreau of Rent .

per
.

All
Following conditions are Taxable & Fo % Of
Receipt Taxable & 70 % of Receipt
satisfied : -

computation of Income from house property ④ Loan After

Partly property
texou
is taken on or

Particulars LOP SOP .

1/4/1999
I
↑

Municipal value XX ② Loan is taken for

purchase/construction Time wise Area wise
Fair rent XX
Of HP [Not Repair] - -
- -
-

whichever is
higher *X
③ Construction of HP shall be
completed is let Everything shall be divided blu
Standard Rent XX
within sys from the end of FY .
If Property out
LOP & SoP on areas basis
will
in which loan was taken for even 1
day It
But Actual Rent shall never be
Expected Rent
.

x X
be treated as LOP

Rent
.
divided It is
always for LOP
Actual
-

xX for whole year .

Interest
Types
.

vacancy
Rent XX -
conc
composite Rent

Rent of house
+ Rent of Other Amenities
&GAV) Annual value X
* Pre Post acquisition Interest
Gross = >
Acquisition Interest .

- I

2) Municipal taxes paid . XX *

1st in
(NAV) annual
from Construction e
dat
Borrowing AprilOf P
.
Y .
which
Net value **** NIL
Agreement is Agreement is
date
,
whichever a lator construction is
completed
2) Deduction Uls 24 Separable not
separable
31st When
(a) Standard deduction & 30 % XX -
Ends on. March
before the loan is
fully
(b) completion year paid PGB
Interest on HP Loan -
No limit
-
> M2/3 Rent Of Rent of
Tax Treatment Allowed in 5
equal Installment Allowed
every Jeal HP .

other Amenities
from .
year
Encome house completion
from
property
O
Note
: Interest paid outside India shall not be allowed as Taxable
I FHP
under Taxable under
IFOS/PGBP
deduction
-

①Municipal
shall
Important
Points :
-
Taxes be allowed If-

④ TDS has not been deducted

on
paid
⑥ There No
agent in India. as
per 6-163 For that Interest

·
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