What are the tax implications of having more than one self-occupied property?

Under Section 23(4) of the Income Tax Act, an individual or HUF can claim full exemption for only one residential house property occupied for self-residential purposes during the year. For any additional self-occupied properties, the annual value will be computed based on the notional rent and taxed as income from house property after allowing deductions under Section 24. Note: Finance Act 2025 has not amended this provision. Supporting Case Law: – Smt. Geeta Duggal v. ITO [2010] 327 ITR 267 (Delhi HC) – Link: https://indiankanoon.org/doc/142912/ – Ratio: The High Court held that the exemption for self-occupied property is available only for one house and not for multiple properties.

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Prashant Thakur

The author has spent more than 30 years in the field of taxation. Wrote four books -3 on on Indian Tax Law and 1 on US tax law for cryptocurrency. Apart from https:taxworry.com , he also writes on https://irstaxapp.com which is for US tax laws. He is a tech enthusiast and manages a cloud computing company that publishes innovative software.