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Mr Rajesh owns a residential house, let out for a…

Mr Rajesh owns a residential house, let out for a monthly rent of ` 15,000. The fair rental value o…

Mr Rajesh owns a residential house, let out for a monthly rent of ` 15,000. The fair rental value of the property for the let out period is ` 1,50,000. The house was self-occupied by him from 1st January, 2018 to 31st March, 2018.He has taken a loan from bank of ` 20 lacs for the construction of the property, and has repaid ` 1,05,000 (including interest  ` 40,000) during the year. Compute Rajesh’s income from house property for the Assessment Year 2018-19

0
Chiranjibi Jul. 20, 2018

Computation of Gross Annual Value:


  1. Fair Rent = Rs150,000.
  2. Actual rent received = 15000*9 = 135,000
  3. Annual value = 150,000*

* (Annual value is equal to Rs150,000 as it is higher of the 1 and 2. This proviso is applied in cases where property is self occupied (not vacant) for 3 months in the year)

Computation of Income from House Property:


Annual Value = 150,000

less: statutory deduction (@ 30%) = 45,000

less: deduction for interest = 40,000

Income from House property 65,000


0
Sailee Apr. 02, 2020

Fair rent 1,50,000
Actual rent 45,000
(15,000×3)
ER should be taken
For whole year sec23(3) 2,00,000
FR( 1,50,000×12/9)

Less: standard deduction (60,000)
30%
Less: interest (40,000)
---------------
Income from house 1,00,000
property

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