Tax related querry

Share
Share This Thread
  1. dshri

    dshri New Member

    I work in Mumbai and having property in Dist Thane, Mumbai which is vacant and i don't stay in that flat but live in company provided flat.
    I have another property in Bhopal which is rented.

    How to treat the properties for Income tax purpose? Should i show Mumbai property as deemed let out or can i show it as self occupied?
     
  2. ZED

    ZED Well-Known Member

    S.23(2) Where the property consists of a house or part of a house which—

    (a) is in the occupation of the owner for the purposes of his own residence; or

    (b) cannot actually be occupied by the owner by reason of the fact that owing to his employment, business or profession carried on at any other place, he has to reside at that other place in a building not belonging to him,

    the annual value of such house or part of the house shall be taken to be nil.
     
    Last edited: Jul 25, 2016
  3. dshri

    dshri New Member

    If I am getting benefit by showing Mumbai property as deemed let out and Bhopal property as rented which is the fact.
    Am I allowed?
     
  4. ZED

    ZED Well-Known Member

    Don't show both as let out, show one as self occupied.
    See again the word used in the S.23(2) is "shall" this implies compulsion.
    You can not show both as rented.
     
  5. dshri

    dshri New Member

    Even if both the houses are actually rented, Will one have to show atleast one house as self occupied?
     
  6. ZED

    ZED Well-Known Member

    No,Not in that case. But you mentioned that only one is rented. Kindly confirm.
     
  7. dshri

    dshri New Member

    Sorry ...only one is rented.
    I have already got the answer. Thank you very much Zed.

    Just wanted to know :
    1)if both the houses are rented than both will have to be shown as rented?
    2) whether rented house can be shown as self occupied, if you are having more than one house and other as deemed let out, which was vacant for whole year?
     
  8. ZED

    ZED Well-Known Member

    Yes

    NO.
     
    Last edited: Jul 25, 2016
  9. dshri

    dshri New Member

    Sir,
    I am slightly confused
    Is it possible to show rented house as self occupied?

    As per Section 23(3) :

    The provisions of sub-section (2) shall not apply if—
    (a) the house or part of the house is actually let during the whole or any part of the previous year; or
     
  10. ZED

    ZED Well-Known Member

    There was a slight error in my previous reply.
    It will be possible only if its deemed let out and not on actual let out.
     
Draft saved Draft deleted
Loading...
Similar Threads Forum Date
Querry related to gift tax Income Tax Aug 21, 2015
Query related to sale of property Income Tax Mar 8, 2018
SECTJION 44AE AND SECTION 44AB RELATED QUESTION Income Tax Nov 17, 2017
HRA related clarification Income Tax Nov 11, 2017
Gift tax related query Income Tax Jul 19, 2017