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Query Details

Asked by namish on :Aug. 04, 2018

I have a property in Gurgaon, I stayed there for …

I have a property in Gurgaon, I stayed there for 6 months in the last year and let it out for the r…

I have a property in Gurgaon, I stayed there for 6 months in the last year and let it out for the remaining 6 months, how do I calculate income from house property?

0

Chiranjibi Aug. 04, 2018

You take the expected rent for the entire year. You take the actual rent received for 6 months. The higher value will be your GAV.

Expected Rent : 1.10 lakhs

Actual Rent: 80000

Therefore, Gross Annual Value : 1.10 lakhs. You can begin computing your income from house property from this value

For clarification:

Expected rent is the higher of the municipal value of the property and the Fair rent, but can not exceed the standard rent.

For example,

Municipal Value : 2 lakhs

Fair Rent: 1.80 lakhs

Actual rent: 80000

Standard rent : 110000.

Your expected rent would be:

higher of 2 lakhs and 1.80 lakhs but can not exceed Rs 1.10 lakhs. Thus expected rent is Rs 1.10 lakhs.

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