Arrears of property tax

This query is : Resolved

JANGALA SRI HARSHA (Querist)
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27 August 2014 Is arrears of property tax paid in assessment year can be claimed in calculation of income from house property?

CA Tejas Mistry

CA Tejas Mistry (Expert)
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27 August 2014 The Municipal taxes must be borne by the landlord
(If the Municipal taxes or any part thereof are borne by the tenant, it will not be allowed).

The Municipal taxes must be PAID during the year (Where the municipal taxes become due but have not been actually paid, it will not be allowed. Similarly, the year to which the taxes relate to, is also immaterial).

So Municipal taxes are allowed on the payment basis.