How Much Land can be Considered “Lands Appurtenant to” to a Building?

land appurtenant to

Section 22 of the Income Tax Act deals with  "income from house property. This provision contains the wordings "lands appurtenant to" which is used after the word “buildings” .The provision u/s 22 is given below22. The annual value of property consisting of any buildings or lands appurtenant thereto of which the assessee is the owner, other than such portions of such … [Read more...]

10 Golden Rules for Claiming Deductions from House Property Income !


Do you know that one simple fault can restrict your interest deduction in case of self occupied house to Rs 30,000 from the maximum allowed Rs 1, 50,000? Whether water tax charged by Municipal Corporation is deductible from annual value of house property or whether you can borrow the home loan from a friend or whether the interest can be deducted u/s 24 despite the fact that … [Read more...]

Can Rent Received by Tenant Be Taken as Annual Value for Owner ?

The annual value of the house property is charged to tax under section 22.Since section 23(1) (a) provides that annual value is such which can be reasonably expected, a situation may arise that tenant has put the house on rent and tenant is paying less rent than the rent which he is receiving from his subtenant. Can A.O in that case argue that the sum received by the tenant is … [Read more...]

House Property Income: 2 Little Known Laws !

house property income

The income from house property is one of the five heads and as the heading suggest is for computing income from rent of a house or building which may include the land appurtenant.There are three kinds of deductions allowed while computing the income under "income from house property" . However, very few people give attention to at least two provisions of law which can either … [Read more...]

House Property Income -10 Questions to Check Your Knowledge


House property income taxation provision is given in section 22 to section 27 of the Income Tax Act. There  are certain benefits attached to acquiring house for self residence by the government. Apart from this , the law of taxing house property is not necessarily dependent on the ownership , but who actually enjoy income out of a property. So , a set of 10 questions … [Read more...]

Deduction of Interest u/s 24 Fully Allowed Without Limit In Certain Cases !


Deduction of Interest on home loan is one of the oft asked question on tax. Nishmitha Shetty of Mumbai asks “When loan is taken for two homes then how much interest paid on them is allowed for deduction u/s 24 under the head House Property? Is it only Rs. 150000 or more?”Following points shall explain the provision of deduction of interest and com putation of tax on house … [Read more...]