Mr. Anand sold his residential house property in March, 2017. In June, 2017, he recovered rent of ` 10,000 from Mr. Gaurav, to whom he had let out his house for two years from April 2011 to March 2013. He could not realise two months rent of ` 20,000 from him and to that extent his actual rent was reduced while computing income from house property for A.Y.2013-14. Further, he had let out his property from April, 2013 to February, 2017 to Mr. Satish. In April, 2015, he had increased the rent from ` 12,000 to ` 15,000 per month and the same was a subject matter of dispute. In September, 2017, the matter was finally settled and Mr. Anand received ` 69,000 as arrears of rent for the period April 2015 to February, 2017. Would the recovery of unrealised rent and arrears of rent be taxable in the hands of Mr. Anand, and if so in which year?
Dec. 08, 2017