home lease
This query is : Open
05 March 2017
Dear experts,
A is a owner of a home and he is given to B on lease for 5 years, for this lease refundable amount is around 1,50,000. What is the income tax treatment to Mr. A and B? can we treat this lease amount as rent income to Mr. A and rent exepene to Mr.B?
05 March 2017
in my opinion, refundable amount is not income of recipient or expense of payee.
rather it should be categorized as asset and liability
Message likes :
1 times
06 March 2017
Hi Rupinder sir,
I am convince with your openion. So both Persons are can't disclose this amount in income return. Suppose Mr.A is given same home on rent before to given on lease. if deprt will came after identify no rent income in a year by compare with rent income in previous years. how can we face?
I am convince with your openion. So both Persons are can't disclose this amount in income return. Suppose Mr.A is given same home on rent before to given on lease. if deprt will came after identify no rent income in a year by compare with rent income in previous years. how can we face?
06 March 2017
as per my interpretation of your query aount received is advance rent which will be returned to tenant when the agreement is terminated.
apart from that tenant will pay monthly rent which will be taxable under Income from House Property
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is Aadhar PAN linking required for opening bank account?
- Applicability
- Where to show the RCM on Rent paid to unregistered landlord
- CPC Processing IT Return for AY 2023-24 without recognizing the Taxation Option under New Regime
- Application of 115BAC
- Gst Sales of FY 2023-24
- GSTR-3B - Do I file nil when there is no sale but I've bought raw materials
- TDS NUMBER SURRENDER
- Legal heir raised refund , but refund issued to the closed account of deceased.
- RCM - commercial rent paid to URP under GST
- Whether still royalty
- 20% OF DEMAND PAYMENT IN APPEAL
- Issue of gst e invoice
- Interchangeable words in accounts
- Adjusted profit/Loss in the case of LLP and Pvt. Ltd.company
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
- Query for dubts
- Regarding Resignation by Auditor from Pvt. Ltd.
Trending Online Classes
-
Excel Mastery Program
CA Rishabh Pugalia
CAclubindia
