If a property is under construction and if the assessee has any plot in that property , then whether the
rent received on that particular plot is taxable??
Please help
Thanx in advance
Arvind Sharma
(ACA)
(1432 Points)
Replied 03 June 2011
Rental income is taxable under House Property Head only in case of Rent from Building and Land appurtenant thereto (ie there must be a building for taxing under HP Head).
Since building is under construction , the same is not taxable under HP Head, but rent on plot is taxable under the head of Other Sourse Income....
Live class on PF & ESI Enrollment & Returns Filing(with recording)
CAclubindia
