PG INCOME

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Robin verma

Robin verma (Querist)
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04 December 2016 Income from PG Hostel is taxable under PGBP or House Property. Food is provided by PG owner.

Sandeep Dharar

Sandeep Dharar (Expert)
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05 December 2016 As per me it should be taxed under business income (PGBP), coz whole of the building(commercial property) is used for generation the revenue for the Hostel, and Hostels and PG's main income is rent from students or tenant or as applicable. If only a part of the property is used for rent purpose then it can be treated as income from house property.

U may take the help of the following link for case laws reference:-

http://abcaus.in/income-tax/rent-from-commercial-property-taxable-as-business-income-not-residential-house.html