deepu (CA ) (45 Points)
27 January 2011Pls suggest answer for the following:
MV-Rs 1,18,000
FR-Rs.1,15,000
SR-Rs1,20,000
Expected & Actual Rent Receivable(10k for 12 months) Rs. 1,20.000
Vacancy - 12 months
1. What would be the GAV?
2. Can it be negative & whether it be carried forward & set off ?
CA Prateek Garg
(CA in Practice)
(1447 Points)
Replied 28 January 2011
GAV will be Rs. 120000
Because GAV if higher of Annual letting Value (i.e. 118000 in your case) or Actual rent Received (i.e. 120000)
Annual letting value will be higher of MV and FR i.e 118000
but ALV cant be higher than SR (in your case ALV is lower than SR )
suppose SR in your case is less than 118000 then such SR will be your GAV.
CAclubindia
