House property can be let for residential or commercial purpose. Annual value from building or land appurtenant thereto is always taxable under the head income from house property. However based on different circumstances, taxation may change. Below in this article, we will be discussing how use of house property can change the way income is taxed in India.To get it taxable … [Read more...] about How use of house property matters in taxation
When assessee is deemed to be the owner of house property
Deemed owner has been defined in section 27 of the income tax act, 1961. This section is an exception to the basic conditions of charging tax under the head house property. To get taxed under the head house property, following basic conditions are to be satisfied;The property must consist of building and land appurtenant thereto; andIt must be owned by the assessee; andThe … [Read more...] about When assessee is deemed to be the owner of house property
How to calculate taxable income on self occupied house property
A person’s gross total income is the sum of income under five different heads calculated based on the tax laws. One of these heads is ‘income from house property’. This head includes rent earned from building or land appurtenant thereto which is chargeable to tax.Income is taxable under the head house property if conditions to section 22 is satisfied. As per this section, … [Read more...] about How to calculate taxable income on self occupied house property
Tax deduction on Income from house property – Section 24
To compute income under the head house property, you have to first check if all the basic conditions as specified in section 22 of the income tax act,1961 are satisfied. If its taxable under the head house property, then before calculating taxable income under this head, you can claim a tax deduction under section 24.As per section 24 of the income tax act,1961, income … [Read more...] about Tax deduction on Income from house property – Section 24
How composite rent is taxable under the head house property
Composite rent means the house owner charges rent to the tenant for renting the house property and also on account of services provided by the landlord for various facilities such as lift, gas, water, electricity, watch and ward, air conditioning etc.In such a case, composite rent has to be split up to following two components;Rent for the portion attributable to the … [Read more...] about How composite rent is taxable under the head house property