How to reduce income tax on rental income in India
You might be having more than one property and getting rental income. However, you need to pay income tax on such rental income or deemed rental income. If you are wondering how to reduce income tax on such rental income in India, this article is for you. I would provide insights about rental income, its components, deductions applicable and various ways and means to reduce income tax on such rental income or rent received.
What is Rental Income?
If you have any commercial or residential property and let out to tenants, you would get rent. Such income is termed as Rental income. You need to show such income under “Income from house property” in your income tax returns and pay necessary tax. However, if you are doing this as part of business, it would be termed as “Business income”.
What is Deemed Rental Income?
If you have more than one property, you can only consider one property as self occupied property. For remaining properties, whether you are getting any rent or not, you need to pay tax on deemed rental income. It is immaterial whether you are getting any rent or not. You need to all such property and their deemed rental value which would be based on market value.
Important points to note for tax on rental income
1) Rent received: It is the actual rent received by you from your tenants during the financial year starting from Apr to Mar.
2) Notional Rent / Deemed Rental income: Other than your self occupied property, for other properties notional rent / deemed rental income needs to be computed. Notional rent is based on market rental value.
3) Property Taxes: Any municipal tax / property taxes paid during the financial year is allowed as deduction.
4) Standard Deduction of 30%: Income tax Act allows 30% of the rent received / deemed rental income (after reducing property taxes) as a standard deduction towards repairs and maintenance. It is immaterial whether you have incurred such expenses or not, but you are eligible to claim this as deductions from rental income.
Let me illustrate with some examples.
Example no. 1 – Let out a property – Rent received
Akhil has self occupied property in the outskirts of Hyderabad (low rental value) and second property at Ameerpet, Hyderabad (Prime locality). For second property, he is receiving good rent of ₹ 10,000 per month. He is paying ₹ 20,000 municipal taxes per annum. The income from house property for the financial year would be as follows:
- Rent received = 120,000
- Municipal taxes = 20,000
- Standard deduction = (120,000 – 20,000) x 30% = 30,000
- Income from house property = ₹ 120,000 – 20,000 – 30,000 = ₹ 70,000
Example no. 2 – Second house – No rent received
Akhil has self occupied property in the outskirts of Hyderabad (low rental value) and second property at Ameerpet, Hyderabad (Prime locality). The second property has just been locked and not let-out. For second property, the market rental value is ₹ 5,000 per month. He is paying ₹ 10,000 as municipal taxes per annum. The income from house property for the financial year would be as follows:
- Deemed rental income = ₹ 5,000 x 12 = ₹ 60,000
- Municipal taxes = 10,000
- Standard deduction = (60,000 – 10,000) x 30% = 15,000
- Income from house property = ₹ 60,000 – 10,000 – 15,000 = ₹ 35,000
Also Read: Tax on FD Interest – How to save tax or avoid?
How to reduce tax on rental income or deemed rental income?
Now let us come to our main point on how to reduce income tax on rents received or rental income or deemed rental value. There are several ways where you can plan and reduce income tax burden on such rental income.
1) Consider higher rental value as self occupied: Income tax act provides provision for tax payers regarding this. You can declare high rental value property as self occupied. It is immaterial whether you are staying in such property or not. Many tax payers opt their property as self occupied which has high rental value. Other properties where rents are low, they declare as other properties and compute the notional rent and pay the income tax. In the above example, Akhil can opt second property as self occupied which has high rental value and save tax. This is one of the best ways to reduce income tax burden on rental income.
2) Pay municipal or property tax on time: You can get a reduction for municipal or property taxes for rental income only after you pay during the financial year. Since you cannot escape from Govt taxes, it is better to pay it on time and claim it as a reduction. In the above example-1 assume that Akhil has not paid municipal taxes, his income from house property would increase to that extent.
3) Interest on housing loan / mortgage loan for self occupied: If you have housing loan / mortgage loan for self occupied, you can claim interest on housing loan up to ₹ 1.5Lakhs per annum. This can be shown as loss in “Income from house property”.
4) Interest on housing loan / mortgage loan for let-out property: In case of let-out property, you can claim interest on housing loan / mortgage loan without any limit. Means ₹ 1.5 Lakhs limit would not apply here. E.g. Continuing with the above example, if Akhil would have taken housing loan on the second house and interest on such loan is ₹ 70,000 in a financial year, his income from house property would be nil as rental income is getting adjusted with loss from housing loan interest. What an idea?
Also Read: How employees can save income tax through 80c and beyond?
5) Carry Forward loss by filling IT returns before 31st July: In case your loss from house property is not set-off against total income, you may still carry forward such loss to subsequent years. However, you need to file IT returns before 31st July to claim such exemptions. E.g. continuing from the above example, assuming that Akhil housing loan interest is ₹ 1.5 Lakhs. However, income from rental income is only ₹ 70,000. Still, there is ₹ 80,000 to be adjusted. Assuming that Akhil does not have any other income, this loss can be carry forwarded to subsequent years provided he files income tax returns before 31st July of that year.
6) Interest paid pre-possession: Many of us do not know how to handle this. Interest paid on any housing loan where possession is yet to take place, you can claim such exemption in 5 equal installments starting from the year when the position taken place. E.g. Continuing above example, Akhil has purchased the property in Apr-2013. He is paying interest of ₹ 150,000 per annum. He took the possession of property after 2 years i.e. Apr-2015. Now the interest paid for ₹ two years totals to ₹ 3,00,000 can be claimed for Financial year 2015-16 onwards in 5 equal installments per year. I.e. ₹ 60,000 per year can be claimed for next 5 years.
7) Principal amount of housing loan: Section 80C allows an individual to claim principal as an exemption. However, there is a limit of ₹ 100,000 under section 80C. If you have already exhausted, you may not benefit much.
8) Benefit from joint home loan: This is another best way to reduce taxes on rental income. If your spouse is working, you can consider taking a joint home loan to buy property. The advantage is you and your spouse can claim upto ₹ 1.5 Lakhs per person as interest on housing loan exemption. Means you can claim up to ₹ 3 Lakhs as an exemption for interest on housing loan by both of you. Similarly, the housing loan principal amount can be claimed as an exemption up to ₹ 1 Lakhs per person u/s 80c
Also read: Ways to save income tax on long term capital gains from sale of house property
How NRI’s can reduce taxes on rental income?
There are no special provisions for NRI’s. The above rules would apply to NRI’s to. However, any rental income received can be deposited in NRO account only and this cannot be repatriated.
Conclusion: I felt one can reduce the tax on rental income if he or she knows how they would be computed, its components and various ways where one can reduce income tax on such rents received or notional rent. Knowing such things up front would help you to plan well and save income tax. One should note that we cannot avoid tax, but we can reduce taxes by planning well.
If you enjoyed this article, share it with your friends and colleagues on Facebook and Twitter.
Suresh
How to reduce tax on rental income or deemed rental income
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Can I claim Property tax exemption for self occupied property?
I am a Govt. servant. I own only one house which I wish to put on rent. I reside in a Govt. allotted house till I am in service. Can I show my owned house/property as self occupied and save the tax on rent.
I am DY Manager SBI, bank give leased accommodation for my residence.
Iam having a house which is let out.
I want to know whether I can show the house as self occupied
Please guide
8500075444
My Father is owner of a property which he wants to let out, how to avoid income tax? since he is the sole owner of property, is it possible to share the rental income to his son without dividing the property?
I have a apartment in my name. My husband and myself own another apartment jointly, with my husband as first owner and I as second owner. The second flat is unoccupied. Will I have to pay tax for deemed rent for the 2nd property?
Great
From which FY after purchase the tax on rental income from second house property starts. It will take at least one or two years for pensioners to settle and hence there should be a tax holiday for at least two years from the date of purchase of a second house property
Thank you for this info Deepesh, I have a quick question.
My Father is a 63 year old retired NRI who does not own any property in India. If he purchases a commercial space for 1 cr. can he then avail a housing loan of 25 lakhs on the rental income to purchase an apartment?
Also if the rental income before taxes is ~60,000 per month, (7,20,000 per annum) how much of it can he claim to pay his housing loan?
Thanks in advance.
Can the tenant deduct tax amount and pay rent if monthly payment is 50,000 for a building
Thanks a lot sir…very helpful .
I have rental income from a single building. This consists of 34 rooms – some shops and rooms. Rooms are for the monthly rents rented out as residential purpose to the out station persons working in my city. I provide electricity, water, rent collecting staff and security to this building/the rooms. The expenditure incurred is in excess of the standard deduction – 30% of the total income from the rentals from this building. Can I claim the actual expenditure as deduction for this rentals income?
I rent out a parking spot in my apartment complex. In understand the 30% standard deduction is towards maintenance and repair. I am assuming it does not include costs involved like advertising to get a tenant. Is the assumption right?, So, if my rental is 100/- and my advertising cost to find the tenant is 5/-, is my taxable income 70 or is it 65 (ie. 100- 0.3*100 – 5)
Sir,
I have a residential building comprising 4 (portions/houses) in the same building which I purchased 2 years back. One is self occupied and one is rented out for Rs.16000/- per month. The other 2(portions) are kept vacant, since I intend to sell the residential building next year as I am waiting for completion of 3 years to avoid short term capital gain tax which is applicable if sold within 3 years from the date of purchase.
I had not taken home loan before purchasing the above property. But I had taken Loan Against this property for Rs.20,00,000/- at 12.75% interest per annum for 7 years duration with a EMI of Rs.36,113/- with a view of settling the rent free lease amount to the 2 tenants who vacated the above said 2 portions which are kept vacant now. I am refunding the annual principal amount of Rs.1,89,152 and interest amount of Rs.2,44,199/- The notional rental value of the vacant 2 portions are also Rs.16000 per month each. Am I eligible for deduction of Rs.2,44,199 which I pay as interest from the rental income of the 1 portion and the notional rental income of the 2 vacant portions of the house since it is not a home loan but Loan Against Property which carry slightly higher interest than home loan?
Bharath
I RENT MY HOUSE IN PUNE AND MONTHY INCOME GET IS 15310 AND PAY HOUSE TAX TO PUNE Municipal amount 7997.
and rent is divide between two person whether IAM liable to pay tax from this income?
Hi – ref rental income and calculations of tax.
My rental income from my 2nd house is 40K / month = 480K / year and am signing the agreement next month. Brokerage is 40K and other expenses can be about 8K – incl registration of agreement etc.
Municipal taxes are 18K / year and society maintenance is 24K / year.
How does the tax calculations work – how is the brokerage / other expenses treated here?
Thx
sir can i deposit money in my wife ppf account and will that amount attract income tax.since my wife is not working
Interest income from PPF is tax free. It is immaterial whether you are investing in your name or your wife name.
Hi Suresh,
I need your help on deductions/credits, I have one commercial property with annual income of Rs 6 Lakhs. This is the only property I owns and I live with my father in his home. So should I show my property as a prime residence? what would be tax out go, since 10% is already deducted at source by tenant. What other deduction am I eligible for this year to reduce my tax bill?
Your help is appreciated.
Hi Suresh
I plan to take 2nd property with home loan on joint ownership basis i.e. 50% by my son (employed) and 50% by my wife with my wife as Ist applicant (to avail lower interest rate on home loan). My wife is not an earning member. EMI shall be paid fifty percent each by my son & by me.
Please clarify whether I can take the tax deductions for 50% of interest paid on home loan, for the property loan taken in my wife’s name.
Hi! I have got two properties
House 1: I got registered recently, and is intended to be let out
House 2: Handover expected next FY, and intended for self occupation. Currently I stay in a rented house
Question: Can I avail 100% exemption in this FY on the interest paid for House 1, when House 2 is scheduled to be occupied in next FY?
Thanks
Hi Suresh
I think we cannot declare any house as self occupied if we derive any rental income from it , can you please confirm ?
Regards
Rathesh
I have a query,
I have only one property in hyderabad which I am renting it out
1) do I have to show rent as my rental income ?
2) If yes can I also claim reduction of 30% as expenditure towards my property and home loan interest
3) My flat was not occupied for first 5 months of the year from April to August so can I claim loss of rental income as it was not oocupied at all and I didn’t get any income from it ?
4) I will be staying 23KM from my property near my office again on rental basis so can I claim HRA for the rent paid.
Dear Sir,
I am a central govt employee. Presently staying in Govt quarter and hence not getting HRA. Additionally paying Rs.2000/- per month as licence fee + Taxes for the govt allotted quarter.
Presently I am owning 2 Flats and both are rented out. I have taken home loans for purchasing both flats. I have some specific queries:
1. Do i have to pay tax on both flats’ income OR any one flat can be declared as self occupied though I am getting rent?
2. If i have to pay tax on rented income from both flats, can i deduct the full interest paid to the bank on both Home loans? And Principle Amounts paid to the banks on both home loans under 80C?
3. Can i deduct the additional payment i am making (in the form of Licence fee+ taxes) on Govt allotted quarter from my Net income for calculating the Income tax?
With Regards
SANJAY KUMAR
Hi
I have given a house for rent in city A and it is un occupied for past 4 months. I stay in different state / city B where rentals are less.
If notional value has to be declared as income even if un occupied, can I show that I stay in city A and declare notional value for city B. If so, what is IT rule for this?
How to find notional value. Do you have any guideline?
Regards,
Hi,
My query is regarding TDS on rent from commercial property.
if i have a property of two floors and the it has been rented out to two tenants who are using the same for commerical purposes.
a) Do we have to pay TDS on rent, can it be deducted by the Tenant when he pays us?
b) Is there a slab for the TDS payment
c) I also have another property where I reside and also rented out one floor. Do i need to pay TDS for this property too
d) I have no other source of income other than rental, does this give me any tax relief.
thanks in advance
I have taken home loan for constructing a two story building. Now construction is completed and first floor is self occupied. I want to let out second floor .How the income tax on rental income from second floor will be calculated. Can i claim interest payment deduction beyod Rs. 150000 as in last year ia have paid 250000 towards interest of home loan. please guide.
Thanks
My querry is regarding set off of losses from one self occpied house and other "deedmed to have let out property" from salary income. For example :
A has salary income of Rs. 8.00 lakh. on one house occupied by him he has paid housing loan interest of Rs. 60,000. On other property owned by him in another city but not actually let out, he has paid interest of Rs. 50,000 on another housing loan. In such case, can A claim deduction of interest on housing loan paid on both the loans from his salary income ? Please clarify.
Kedar
Hi,
I was working before, but lost my job 4 months before. 6 months ago, we purchased a second flat, considering that we can manage with dual income. Both the houses are registered jointly. I was claiming the home-laon for the house as i was paying the EMI. We planned to make an equal loan clain for the new house, which is 5 times more expensive than the first one. My query is that considering that the current job market is so fluidic with very less job guarantee, can't the claims be changed from time to time depending on who is earning?
Hi Lakshmil, It depends on the ownership ratio. If it is equal, interest paid can be claimed equally
1.Thanx for ur reply.my next query
2.one of the property is jointly owned with wife but instalment for housing is paid by me.should i show this as joint property in ITR,will this accrue any benifit.
3.if i have shown one property as rented in last AY yr ITR,can this be shown as self occupied this year and vice versa for other property i.e shown vaccant/self occupied in last AY and rented this year.
4.Is this interchanging permitted.
Kuldeep 2) You would get benefit in the proportion of property ownership. If you and your wife has equal ownership, any interest paid in housing loan would be equally distributed among you and you can claim housing loan interest benefit 3) Only one property can be declared as self-owned in a year. You can always interchange as there is possibility that you are shifting your house 4) This is very much permitted. But stick to the same logic entire financial year so that there is no confusion
1. if i have two properties,one rented and other not.both have an housing loan on them i.e mortgaged,
2. i show one as self occupied and other as rented out.
3.can i claim interest paid on both properties eg-RS 150000 on self occupied and amount(interest+30%on maint//)on other.
Kuldeep 1) Property-1 Self occupied-Get tax exemption on interest paid for this housing loan 2) Property-2-Rented out. Get unlimited interest tax exemption, but show rental income as income
Hi Sureskh, Thanks for the informative article. Got to know a lot from this.
I have a question. I live with my parents and now plan to buy an apartment and let it out for rent. Since I stay with my parents, can i claim this house which i let out for rent(which is the only house that i own) as self occupied and save on the rental income with respect to tax?
Yes Sandeep. Though legally you are eligible, you can declare as self occupied. However you cannot avoid showing rental income if you get thru bank tranasction / cheque / transfer
I read your rental income article with interest. Your suggestion to show high rental propperty as self -occupied , to save on tax , needs clarification.
If the declared self -occupied property is rented out for residential or commercial purpose , can the benefit be still claimed ?
If the rent received is more than Rs 10 lakhs per yr , how can the liability be brought down for Service Tax purposes . Any deductions etc ?
Mr. Suresh,
Thanks for a nice article. I have second house in different city (my home town) jointly owned with my wife. I have a housing loan also, which was fully repaid in FY 13-14. My wife is housewife and the house is fully funded by me. Earlier the house was rented but in FY 13-14, it is not rented and my parents are staying there for few months in a year. I have few queries,
1. Can I show my father as my tenant,
2. If not, as per IT return for 2 for AY 2014-15, it is compulsory to fill the name of the tenant, then in case I opt for deemed rent, what to fill against the name of the tenant.
3. Can I claim housing loan interest rebate under sec 24, while showing deemed rent.
Thanks
Pankaj, as per my knowledge, you can show that your family members are staying and you are getting rent. You can claim interest on this house after deduction of rent.
comparision between rent income 10% v/s tax free 8% bond income . it benifit against bldg appriciation
Hi Suresh,
Thanks for the detailed info you have provided.
I have a query regarding Service Tax. I have paid advance Service Tax for my commercial complex which is rented for year 2013-14. Can I claim the Service Tax along with the Property Tax in the deductions during income tax calculation on rental income. Thanks in advance…
Madhu, As per my knowledge, service tax cannot claimed and deducted from your income tax payable amount.
Thanks Suresh
Nice article on rental income.Suresh , I want to know when ariving at net taxable rental income, should we consider the society maintenance charge that we pay monthly .
For instance in housing societies in city like Mumbai, we pay monthly maintenance charge to our society which also include non occupancy charge.
So assuming rental income is 1.2 lakhs per annum and monthly maintenance charge paid to housing society including non occupany charges, muncipal tax, sinking fund etc is say Rs 2000 monthly.
So to arrive to net taxable rental income should it be
1.2 lakhs – 24,000
Please clarify my doubt, as few places they mention in the above way to calculate
Lalit, Only Municipal/Property tax is eligible for deduction. When any deemed rental income is computed you would compute only market rental value which any way excludes maintenance charges. Hence you need not seperately reduce them.e.g. in your example Rs 1.2 Lakhs rental and tenant might be paying maintenance charges seperately. If not, your amount should be Rs 96,000 rental income + maintenance charges of Rs 24,000 = Rs 120,000.
Suresh,
My tenant is not paying the society maintenance charges. I am paying from my pocket, so as per you we should consider only the muncipal/property tax component and subtract the same from the annual rental income received.
Lalit, This is where generally I see an issue. You should ask Tenant to make the direct payment so that your inflow is reduced and your tax would also reduce. We should consider only municipal taxes/property tax as reduction
Lalith, I want to update my statement. Please read this extract from business today which I just browsed. Here is the extract. Link here Business today
Services such as supplying electricity and water, maintenance of common areas, watchman, etc, are not included in the rental income of the property. These are separate from the renting of the house. The payment received by you from your tenant for these services will come under the head ‘Income from business or profession’. The actual expenses incurred by you for providing these services can be claimed as a deduction from the total amount received for rendering of these services to your tenant.
Dear Suresh kp sir, i have been a good reader of ur website myinvestmentideas , my knowledge regarding investments have been improved. sir now i have got a job and i can save 5k per month. my parents are asking me to save in recurring deposits of bank as they are safe. but i want to try my luck in mutual funds. my age is 23. i am already investing 10% of my salary in NPS. so can u give me suggestions on how and where to invest those 5k rupees. i can invest regularly for 10years.
Dheeraz, Thanks for your appreciation. To satisfy every one, what you do is open a RD with any bank where you have account and invest for Rs 2,000 per month. Select 3 mutual funds in large cap segment like like ICICI Pru focussed blue chip fund,BNPP Equity fund, UTI Opps fund and Quantum long term equity fund etc. and invest them. BTW, as a young investor, what suggestions do you give to improve this blog. Do you recommend any of the articles to your friends. If yes, please share some of the good articles by copying the URL and pasting this in FB and share them. Your friends might be searching for such info and you may be a saver for them.
Nice article. To claim “8) Benefit from joint home loan”
We need to submit “Joint owners declaration”. Both applicants should clearly mention, how much % of amount each of them paying as EMI. The claim % depends on how much EMI each applicant paid during current Financial year.
Thanks Sri. Looks you have good knowledge on this point.
I don't agree with your last statement. Till the date, I didn't have an idea about Deemed rental income; not just me but everyone in my surrounding. So, none had added this income in their final IT returns but still, everyone is roaming freely. Actually, income tax acts are great on papers but their application at practical level is a joke. So, let's laugh over the matter. Hahahahaha!
It's impossible for the department to trace each & every individual when the population of the country is so high.
Looks Mohit is not in good mood today. What really happens is every one things the same. However what may really happen is IT dept may catch one person in a random and once they caught, they would really go round robin and dig out last few years IT returns and ask for unaccounted money. What I really felt is instead of thinking that no one catches us, if we can plan these things, we can really avoid the tax itself legally. What do you say Mohit? Respond to me when you are in cool mood. You can still pin point in case you are not happy with my answer.
Sorry for the late reply! I was really in great mood that day as well as today. I had not written the above comment in ironical manner but was my opinion for the same. From my experience, I can confirm that IT department never catches anyone randomly but catches only those person whose enemies had given the details about the illegal properties & black money. Again, those enemies had to fund the IT department to take action against that particular person. One more point, those enemies had to be strong enough to proceed to the IT department, a normal enemy cannot even complaint about a person & department will never take action, even their information is true.
In short, if a person have a large set of strong enemies, he/she should make sure that his profile is clean on papers & should plan everything before acting in any manner before IT department. This article will be very helpful for such sort of people. I too appreciate this article as beforehand, I had no information about this case.
One more point, I would like to add here, IT department pose a very weak infrastructure & limitations. If they raid someone & was unable to find any clues or evidences against the person, that person can easily file chargesheet against the officers. Even, the person is a culprit, it's the officers who had to bear the pain.
Again, because of poor infrastructure, it's too hard for the officers to find clues/evidences against a person; if their enemies report to the department, it becomes an easire task but if there's no one to report, it becomes a tedious & infeasible task. An idiom is applicable in this case, "Search a needle inside the heap of sand".
The major question remains in front of the department, where are the properties of a person; even a person had given his PAN number during registration of property, there's almost no database for it; leave about the cases, when a person had purchased a property 20 years back!
Mohit, You points could be valid, cannot confirm that this always happen. It could be. Thanks for sharing your views.
I agree with suresh. They do not check every record. But they do check several and take actions.
FYI, starting from this year, all housing loans should be registered with central registry. This is applicable for all new as well as old Housing loans.
This doesn't happen everywhere. If you belong to some high-end metro Cities, things are better for IT department & most of the properties are added in the database. It's an easier task for officer to trace the details. One should be aware in such cases.
But if you belong to some of the unorganized states like Bihar, UP, Orissa, WB, interior parts of Andhra Pradesh, you are the king & IT department cannot harm you in that case; it's impossible for officers to trace each & every person. Another fact, no officer love to move to metros & places like Bihar & UP are their favorite destination. You can understand the reasons behind this. Only those who want to have a stress-free but poor life opt for metros where system is organized. Noida has best organized database of properties. Great for good people; curse for bad people.
What I told you in above comments can be considered as street knowledge & true in most of the cases. What I told you is confirmed from my side; from my experience. Truly speaking, I am a regular reader of your blog from last July; Since July, I had read ALL the articles that you posted on your blog; even some of the past blogs also. Your blog had converted me from a dull person of financial world to one of the most intelligent person in my surrounding related to the financial world. So, I will not provide any misleading information from my side.
I had seen that you reply to everyone & that's a unique feature of your blog. You always give free & genuine assistance to everyone. Keep doing good work! You might never know that this feature of your blog might give a substantial boost to the number of audience & thus increased ad rates.
I would recommend you to add an EMI calculator to your website.
Thanks Mohit for your valuable feedback. I am planning to add some calculators where I would add EMI calculator too.
@Sri: You guys think IT department as a solid organization but it consists of officers who are actually human beings who don't like to work. Major question is who will check the records; it's boring & non-productive. Information are present but none is wiling to take action. These Bollywood movies had created superb hype about the department; in reality, they sucks.
In order to get into IT department, one need to crack SSC with top position & for that, you have to risk your entire 1 year life; if cracked, it's great but if not selected, you will stand at middle of nowhere. After doing so much hard work, you will get just 30K/month initially & agian, promotions are too slow that the guys who are on the verge of retirement & are on the post of Joint Commissioner of Income Tax Department are getting 75K-80K/month; this post sounds great but salary is too slim compared to similar hard workers of private sectors. In such a case, you expect the officers to work in an ideal way as one percieves from Bollywoord Movies. Not just the salary but the number of enemies grow exponentially as you get more experience.
If you raid someone or even send a notice, that person is likely to become your enemy. It's better to avoid such situations & live a peaceful life. This is the reason, officers love to sleep rather than making an analysis.
Good infomation, nicely presented
Hi.its a great detailed post.
I have a query regarding considering the high value property as self occupied. In my case the house I actually stay in has a lower market rental value than my factory/ warehouse which is actually rented out. so can I still consider a factory as self occupied and pay deemed rent in my lower value house property?
Pratik, When you gave your high value property as factory, this should have been considered as commercial property. I don’t think you can adjust commercial Vs residential.
Your article is informatic. I need your help for investment. It seems you are from Hyd . Iam residing at Ameerpet, Hyd. Can you give your phone no. for regular consultation on investment. My phone No is 9440409983.
Hi Suresh, Since I provide free service, I would not like to provide my contact details. Please post your query, you would get response in 2-3 days time.
WoW! it's really great.