KIYOSH (TAX CONSULTANT) (332 Points)
19 April 2011Due to redevelopment of building an individual take home on rent & paying 10,000/- as rent.
He is getting 6,000/- as a rent from builder who is redevelping building.
Now what will be the effect in the Income tax return of Individual ?
Is he claim loss under House Property Income or not ?
If yes than can it be adjusted against any other head of Income ?
Regards,
Devendra
(Chartered Accountant)
(4775 Points)
Replied 19 April 2011
In such case there is no loss from house property.
Loss arises when the house is kept vacant and only the Interest on Loan is utilised in computing house property income.
Regards,
Devendra K
CA. Arpita Singhal
(Partner)
(100 Points)
Replied 20 April 2011
Only interest on loan for house property can be treated as loss under the head Income from H. P.
Loss mentioned above can not be claimed.
KIYOSH
(TAX CONSULTANT)
(332 Points)
Replied 20 April 2011
OK
if I can not claim loss than in that case what effect should I give in ITR
Should I show income from House Property OR should not disclose anything at all in ITR ?
Please reply
U S Sharma
(glidor@gmail.com)
(21063 Points)
Replied 20 April 2011
| Originally posted by : KIYOSH | ||
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OK if I can not claim loss than in that case what effect should I give in ITR Should I show income from House Property OR should not disclose anything at all in ITR ? Please reply |
 |
such expenses are incurred for living, and would be accounted in drawings.
KIYOSH
(TAX CONSULTANT)
(332 Points)
Replied 20 April 2011
| Originally posted by : U S Sharma | ||
|
|
Originally posted by : KIYOSH OK if I can not claim loss than in that case what effect should I give in ITR Should I show income from House Property OR should not disclose anything at all in ITR ? Please reply such expenses are incurred for living, and would be accounted in drawings. |
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You mean to say I have to show House rent income 50400 (i.e 72000 (6000 X 12) Less 30% deduction on it) & payment of 1,20,000/- (10000 X 12) to be put in withdrawal.
OR
I have to show NIL house rent income as actual rent recd 72000/- & rent paid 1,20,000/-
Please reply.
U S Sharma
(glidor@gmail.com)
(21063 Points)
Replied 20 April 2011
you are getting reimbursement of your rent, its not rent income,
rent income is for letting out your house on rent.
48000(12000-72000) is your drawings expenses and there is no provision in ITR to clain it as deduction.
CA Anshul
(CA)
(24 Points)
Replied 14 June 2011
if a person owns the property for the whole previous year and it was vacant for the whole year, is there any chance that GAV can be taken as NIL as per the provisions of the Income Tax Act, 1961???
CAclubindia
