Property self occupied for part of the year & Let out for part of the year
Income from house property shall be calculated for the whole year as deemed let out property
Read MoreTaxability of Arrears of Rent
Meaning: Arrears of rent means the incremental rent relating to earlier financial years which has not been offered to tax in those financial years itself, but received during the current financial year. Chargeability: Receipt of arrears of rent will be chargeable to tax under the head income from house property only. Year of taxability: It […]
Read MoreTaxability of Co-Owners
When the house property is owned by two or more persons, the income from such property shall be determined in the following manner-
Read MoreDeductions from House Property Income
Rules for allow ability of unrealized rent (Rule 4) Unrealized rent means the rent not paid by the tenant and realized by the owner and the same shall be deducted from the actual rent receivable from the property before computing income from that property, provided the following conditions are satisfied- The tenancy is bonafide. The […]
Read MoreIncome from House Property (Sec.22-27)
Conditions for taxing the income under this head (Sec. 22) The basis of chargeability under the head income from house property is Annual Value The property must consist of Building or Land Appurtenant thereto. Building includes not only residential building, but also factory building, offices, shops, Godowns and other commercial premises. Land appurtenant means land […]
Read MoreDeemed Income (Sec. 59):
Loss or expenditure already allowed in computation of income from other sources and subsequently recovered shall be treated as the income of the previous year in which it is recovered. Deemed Dividend (Sec. 2(22)): Dividend for the purpose of Income Tax is a wider term than what is understood in common parlance. The Act provides […]
Read MoreIncomes which are chargeable under the head “Income from Other Sources” but exempt from tax u/s 10(15)
12 year National Saving Annuity Certificate Treasury Savings Deposit Certificates Post Office cash certificates National Plan Certificates National Plan Saving Certificates Post Office National Saving Certificates Post Office Savings Bank Account Post Office Cumulative Time Deposits Scheme of Fixed Deposits governed by the Government Savings Certificates (Fixed Deposits) Rules 1968 Scheme of Fixed Deposits governed […]
Read MoreTaxability of receipts from Life Insurance Policy (Sec. 10(10D)
1. Applicability: All Individuals 2. Exemptions: Any sum received under Life Insurance Policy, including sum allocated by way of bonus, is fully exempt except the following- Any sum received from policy u/s 80DD or u/s 80DDA, Any sum received under Keyman Insurance policy, or Any sum received under an Insurance policy, except on death, issued […]
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