Under section 24, tax deduction from annual value of house property is available while calculating income from house property. Only two types of tax deductions are allowed under section 24 of income tax act; Standard Deduction Interest on borrowed capital The list presented in section 24 is an exhaustive list and no other deductions are … Read More » "Section 24 – Deduction from income from house property"
For the purpose of calculating the taxable amount of house rent, we have to first derive the gross annual value of the property. Gross Annual value will be derived as follows; Derive the expected rent for your house property To derive the expected rent of your house property you need to follow the following steps; … Read More » "Gross Annual Value of your House Property – Income Chargeable Under the head income from house property"
Rent received as a legal owner from your owned building is taxable under the head “house property”. If you have a land which is attached or situated in the vicinity of your building then rent received from such land will also become part of the building rent and will be taxable along with your rent … Read More » "Income from House Property – Tax Calculation for your house rent"
Unrealised rent is the portion of your house rent amount which is not realised from the tenant fro some reason. While deriving actual rent received or receivable for the purpose of calculating gross annual value, the unrealised rent has to be deducted from it. Unrelaised rent will be allowed to be excluded from the rent … Read More » "Unrealised Rent in House Property Income"
As per Section 71 of IT Act, 1961 a loss from house property can be set off against your other income generated during the financial year. If the net result of your income under the head house property is a loss then such loss can be set off against your other income of the same … Read More » "Loss from House Property Reduces your Taxable Income"