06 July 2012
I HAVE GIVEN MY GODOWN ON THE BASIS OF LEAVE & LICENSE AGREEMENT @ RS17000/ permonth as license fees for 11 months.Will this income from license fees will be treated as rental income.will I get deduction of 30% from my income as repair costs .how income will be treated please help.will i have to charge service tax on license fee.
07 July 2012
Dear Friend, Your receipt will be treated as Income from renting and you will get 30% deduction form the gross amount u/s. 23 of the Income tax act and no other deduction will be available except municipal taxes. Thanks