INCOME FROM HOUSE PROPERTY (Assessment Year 2022-23)

1. Ganesh, Harish, Ilango, Jagan and Kiran separately own the following properties:-
Particulars Ganesh Harish Ilango Jagan Kiran
Municipal Value 1,05,000 1,05,000 1,05,000 1,05,000 105,000
Fair Rental Value 1,07,000 1,07,000 1,07,000 1,07,000 1,07,000
Standard Rent NA 88,000 88,000 1,35,000 1,35,000
Actual Rent 1,03,000 1,12,000 86,000 1,14,000 97,000
Unrealized Rent (Conditions satisfied) 1,000 2,000 1,000 2,000 1,000
Find out the gross annual value for the assessment year 2022 – 2023.

2. Mr. Lokesh (45 yrs), owns a house property whose municipal valuation is Rs.2,90,000, fair rental
value is Rs.2,72,000 and standard rent is Rs.2,48,000. It is let-out throughout the previous year with
a rent of Rs.16,000 p.m. up to 15th November, 2021 and Rs.28,000 p.m. thereafter. He transfers the
property to Mr Manikandan on 31st Feb, 2022. Find GAV of the property in the hand of Mr Lokesh
for the assessment year 2022-23.

3. Find out the gross annual value in the case of the following properties let out throughout the PY for
the AY 2022 – 23:-
Particulars Nilesh Oscar Prakash Solomon Thomas
Municipal Value 6,00,000 6,00,000 6,00,000 11,20,000 11,20,000
Fair Rental Value 6,80,000 6,80,000 6,80,000 11,70,000 11,70,000
Standard Rent 6,20,000 6,20,000 7,00,000 11,50,000 11,50,000
Annual Rent 6,70,000 6,70,000 7,30,000 12,10,000 11,00,000
Unrealized Rent 20,000 60,000 50,000 5,00,000 4,00,000
Loss due to vacancy 10,000 10,000 10,000 10,000 NIL

4. Find out the gross annual value in the case of the following properties let out throughout the PY for
the AY 2022– 23:-
Particulars Utkal Vishak Wasim Xavier Yash Zephrinus Abdul
Municipal Value 6,00,000 6,10,000 6,00,000 8,00,000 8,00,000 14,00,000 14,00,000
Fair Rental Value 6,50,000 6,60,000 6,45,000 7,80,000 7,80,000 15,00,000 15,00,000
Standard Rent 5,95,000 5,90,000 6,30,000 8,50,000 7,60,000 12,00,000 12,00,000
Annual Rent 7,20,000 5,70,000 7,20,000 7,20,000 NA 9,60,000 14,40,000
Months Vacant 1 1.5 5 3 12 10 10

5. Mr. Fazil (53 yrs) owns a house property. It is used by him throughout the previous year 2021 – 22
for his (and his family members) residence. Municipal value of the property is Rs.3,32,000, Fair
rent is Rs. 3,52,000 and standard rent is Rs.3,50,000. The following expenses are incurred by Mr.
Fazil: Repairs: Rs.40,000, Municipal tax: Rs.32,000, Insurance: Rs.4,000, Interest on capital
borrowed to construct the property: Rs.3,32,000, Interest on capital borrowed by mortgaging the
property for his daughter’s marriage: Rs.40,000 (in either case capital is borrowed before 1st April,
1999). Income from business of Mr. Fazil is Rs.14,20,000. Find out his net income for the
assessment year 2022– 23.
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 INCOME FROM HOUSE PROPERTY (Assessment Year 2022-23)

6. Ms. Gayathri (72 yrs) owns a residential house property. It has two equal residential units – Unit 1
and Unit 2. While Unit 1 is self-occupied by her for his residential purpose, Unit 2 is let out (rent
being Rs.12,000 p.m., rent of 2 months could not be recovered). Municipal value of the property is
Rs.2,60,000, standard rent is Rs.2,50,000 and fair rent is Rs.2,80,000. Municipal tax is imposed @
12% which is paid by her. Other expenses for the previous year 2021–22 being repairs: Rs.500,
insurance: Rs.1,200, interest on capital (borrowed during 1998) for constructing the property:
Rs.63,000. Find her income for the assessment year 2022–23 on the assumption that her income
from other sources is Rs.3,60,000.

7. Mr. Hari (58 yrs) owns a property at New Delhi (municipal value: Rs.3,28,000, fair rent: Rs. 4,32,000,
standard rent: Rs.3,60,000). The house is let out up to January 31, 2022 (monthly rent being
Rs.28,000). From February 1, 2022, the property is self-occupied for own residential purposes.
Expenses incurred by him are: municipal tax: Rs.12,000 (actually paid), repairs: Rs.4,200,
insurance: Rs.2,200, interest on capital borrowed (date of borrowing being June 10, 1991) for
acquiring the property: Rs.2,46,000. The income from other sources is Rs.3,72,000. Find out his net
income for the AY 2022–23. Does it make any difference if property is let out up to January 31, 2022
@ Rs.38,000 per month? There is no unrealized rent.

8. Mr. Ilango (34 yrs) has occupied two houses for his residential purposes, particulars of which are
as follows:
Particulars House 1 House 2
Municipal Valuation 1,20,000 60,000
Fair Rent 1,70000 64,000
Standard Rent 1,30000 72,000
Municipal Taxes Paid 10% 10%
Fire Insurance 1,200 720
Interest on Capital Borrowed for construction of houses (Loan was
taken in 2015 – 16) and construction was completed in one year. 2,80,000 3,40,000
Income of [Link] from business is Rs.18,60,000/-. Determine the taxable income and tax liability
for the Assessment Year 2022-23 on the assumption that he contributes Rs.1,40,000 towards PPF.
He does not want to opt for the new / alternate tax regime.

9. Mr. Jack (64 Yrs) has occupied 3 houses for his residential purposes, particulars of which are:
Particulars House 1 House 2 House 3
Standard Rent (* Not Applicable) 30,000 40,000 ------
Municipal Valuation 20,000 60,000 60,000
Fair Rental Value 36,000 36,000 70,000
Municipal Taxes Paid 2,400 4,800 7,200
Repairs ------ ----- 400
Ground Rent 3,600 14,000 800
On 1 June, 2012 He borrows Rs.1,80,000 @ 20% p.a. for construction of House 3. The date of
st

repayment of loan is May 10, 2022. Construction of all houses is completed in May 2019. He is a
salaried employee, drawing Rs.14,30,680 p.a. Determine the taxable income for the assessment year
2022–23 on the assumption that he contributes Rs.1,35,800 towards recognized provident fund.
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 INCOME FROM HOUSE PROPERTY (Assessment Year 2022-23)

10. Mr. Kalinga (59 yrs) owns four houses, particulars of which are as follows:
Particulars House A House B House C House D
MRV 60,000 10,000 1,36,000 1,90,000
FRV 78,000 36,000 1,54,000 1,90,000
S R under Rent Control Act 72,400 24,000 1,50,000 1,80,000
Rent (if let out throughout the year) 84,000 - - -
Unrealized rent 7,000 - - -
Municipal taxes Paid by Owner ------ 1,000 14,000 18,000
Paid by tenant 6,000 ----- ----- ----
Date of completion of construction 31, May 2018 31, May2018 31, March 2018 1, April 2017
Land revenue 600 4,000 2,000 6,000
Collection charges 800 600 400 1,200
Nature of occupation Let out for Self-occupied Self-occupied Self-occupied
residence for residence for business for residence

Property I remained vacant for 2 months from March 16, 2022 to May 15, 2022. He borrows Rs.60,000,
Rs.80,000 and Rs.1,30,000 for the construction of House I, House II and House IV, respectively, (date of
borrowing is June 15, 2015, date of repayment of loan with interest of 15% p.a. is 31st December 2019).
His computed business income for the PY 2021–22 is Rs.13,55,000. Determine the Income from house
property for AY 2022–23 on the assumption that he contributes Rs.1,45,000 towards PPF. Ignore 115 BAC.

11. Mr. Balachander owns a big house (erection completed on March 31, 2017). The house has three
independent units. Unit 1 (50% of the floor area) is let out for residential purpose at Rs.16,400 p.m.
Unit 1 remains vacant for 1 month and is not put to any use. A sum of Rs.1,400 could not be collected
from the tenant. Unit 2 (25% of the floor area) is used by X for the purpose of his profession, while
Unit 3 (the remaining 25%) is utilised for the purpose of his residence. Other particulars of the
house are as follows:

Municipal valuation: Rs.1,20,000, Fair rent: Rs.1,40,000, Standard rent: Rs.1,80,000, Municipal
taxes: Rs.305,000, repair:Rs.8,000, Interest on capital borrowed for renewal of the property
Rs.72,000, ground rent: Rs.12,800, annual charge created under the will by father in favour of
[Link] is Rs.18,000 and fire insurance premium paid: Rs.30,000. His Income from
profession is Rs.15,90,000 (without debiting house rent and other incidental expenditure including
admissible depreciation on the portion of house used for profession: Rs.16,000). Determine the
taxable income of X for assessment year 2022–23. He deposits Rs.1,20,000 in PPF account.

12. Mr. Akram (35 Years) owns four houses which are used by him for his residential purposes:
PARTICULARS HOUSE 1 HOUSE 2 HOUSE 3 HOUSE 4
Municipal valuation 30,000 70,000 92,000 28,000
Fair rent 40,000 58,000 96,000 37,000
Standard rent 37,000 74,000 NA 36,000
Municipal tax paid by Akram 3,000 16,000 29,000 12,000
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 INCOME FROM HOUSE PROPERTY (Assessment Year 2022-23)

Insurance premium 1,000 2,000 11,700 2,810

13. Mr Clarke (63 years) owns two houses. Relevant details are given below:
House I House II
Let out April 1, 2021 to June 30, 2021 July 1, 2021 to March 31, 2022
(rent being Rs.12,000 per month) (rent being Rs.13,000 per month)
Self – occupied July 1, 2021 to March 31, 2022 April 1, 2021 to June 30, 2022
Municipal valuation p.a. Rs.1,20,000 Rs.2,00,000
Fair rent p.a. Rs.1,40,000 Rs.1,90,000
Standard rent p.a. Rs.1,32,000 Rs.2,20,000
Rent of let-out period Rs.36,000 Rs.2,34,000
Interest on borrowed capital Rs.4,000 Rs.80,000
Municipal tax paid Rs.20,000 Rs.34,000
Assuming that income of X from business is Rs.12,60,000 (he does not have any other income) and he
deposits Rs.1,40,000 in PPF, find out his net income and tax liability for the assessment year 2022-23.

14. For the assessment year 2022–23, X submits the following information:
Income from business: Rs. 9,82,000. Details of his let-out property Income:
House I House II
Fair rent 3,50,000 3,20,000
Municipal valuation 3,60,000 3,50,000
Standard rent 3,00,000 5,00,000
Annual rent 6,00,000 4,20,000
Unrealized rent of the previous year 2021–22 10,000 80,000
Unrealized rent of the previous year 2020–21 - 3,00,000
Vacant period ( no. of months) (2) (4)
Loss on account of vacancy 1,00,000 1,40,000
Municipal taxes paid 40,000 50,000
Repairs 5,000 7,000
Insurance 20,000 30,000
Land revenue 25,000 40,000
Ground rent 66,000 82,000
Interest on capital borrowed by mortgaging House I (funds 1,40,000 -
are used for construction of House II)
Determine the taxable income of X for the AY 2022–23 assuming that X deposits Rs.1,40,000 in the public
provident fund account of Mrs. X and invest Rs.50,000 in NSC IX issue.
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 INCOME FROM HOUSE PROPERTY (Assessment Year 2022-23)

15. Mr Farahat owns a 10-floor commercial complex in Chennai. It has 60 shops and offices. For the PY
21-22 rent is Rs.44,00,000 on accrual basis. Fair rent is 34,70,000. X pays 20% of municipal tax
imposed by Greater Chennai Corporation, while the balance 80% is paid by tenants (total municipal
tax imposed at the rate of 14% by GCC for the previous year amounts to Rs.5,46,000). For the
previous year, he gives the following information:
Amount charged annually from the Expenses
Particulars tenants & which is included incurred by
in the rent of Rs.44,00,000 Farath
Maintenance of lift (*including depreciation) 1,24,000 1,20,000 *
Water supply 9,000 15,000
Maintenance of swimming pool 1,05,000 90,000
Lighting of stairs 2,000 6,000
Extension of water connection (*including 50,000 46,000*
depreciation)
Fire insurance premium for the houses 1,50,000 2,10,000

Additional information:
1. Out of maintenance expenditure of swimming pool, a payment of Rs.32,000 is made by a bearer cheque.
2. Interest on capital borrowed for the purpose of construction of some of the properties is Rs.2,60,000
for the previous year 2021–22. Out of the outstanding loan of Rs.25,00,000, X has repaid Rs.90,000 on
March 31, 2022 and wants to claim deduction in respect of the repayment under section 80C.
3. Unrealized rent (defaulting tenant has not vacated, nor steps have been taken to vacate the
property):Rs.40,000
4. Salary of manager for supervising maintenance of the complex and recovery of rent is Rs.60,000
5. One flat of rental value of Rs.10,000 remains vacant during the year for a period of 6 months
commencing from January 1, 2020.
6. The above property is outside the jurisdiction of rent control acts.
Determine the net income of X for the AY 22–23 on the assumption that he gets interest on debentures
of Rs.3,00,000 during the previous year 21–22.

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