Unit II – Income from House Property
Problem.No.1. Ashish owns two houses for his residential purposes. The following are the details
of these houses.
Particulars House I (DLO) House II (SOH)
Municipal Valuation 92,000 60,000
Fair Rent 85,000 80,000
S.R.under Rent 70,000 70,000
Control Act
Municipal Taxes 8,200 6,000
Repairs 7,000 6,000
Ground rent is paid @ 10% of net Annual value in respect of each house. Interest paid on capital
borrowed for renewal of house amounting. to R: 48,000 and Rs. 42,000 respectively The Loan
was taken on Ist June 2005.You are required to determines income from house Property.
Problem.No.2 From the following information given by Mr. Rajesh, find out he income from the
house property for the A.Y. 2023-24
Municipal valuation Rs. 2,80,000, Fair rent Rs. 2,85,000, Standard Rent Rs. 2,75,000, Property
has been let out at Rs. 23000 P.M. The house main vacant for two months. Rs 23,000 could not
be recovered from the Tenant during the previous year. Municipal taxes of Rs. 10,000 are paid
by Tenant as per agreement. Interest on loan taken for the construction of property Rs. 1,53,800
is paid by assesse.
Problem.No.3
Sagar owned two houses. For the financial ye 2023, details relating to the properties are given
below
Particulars House I House II
Fair Rent 5,35,000 4,32,000
Municipal Valuation 5,36,000 4,35,000
Municipal Taxes Paid 6,000 (paid) 5,000(unpaid)
Annual rent 5,38,000 4,35,000
Ground Revenue 2,500 3,500
Interest On capital - 1,14,000
Nature of occupation Let out for residence Let out for Business
Date of completion of May, 2012 April, 2014
construction
You are required to compute income from house property for AY 2023-24
Problem.No.4
Mahesh owns two houses. He has furnished the following particulars for the financial year 2022-
2023
First house: Its municipal valuation is Rs. 2,00,000. He uses it for his residence He has paid fire
Insurance premium Rs.2000 and municipal taxes Rs. 20,000. He has also paid interest on
housing loan Rs. 26,000
Dr Sachin Chavan
(MBA, MCOM, Mphil, DTL, Ph.D)
Unit II – Income from House Property
Second house: Its Municipal valuation is Rs. 80,000 and has been let out, a rent of Rs.8000 p.m.
He has made the following payments in respect this house- Municipal taxes Rs. 9000, Repairs
Rs. 11,000, Legal expenses for getting the house vacated Rs.5000. Annual charges Rs. 30,000.
The house remained vacant for two month Rs. 30,000 could not be recovered from the defaulting
tenant during this Compute his taxable income from the house property for the A.Y.2023-24
Problem.No.5 -From the following information given by Mr. Rajeev, find out he income from the
house property for the A.Y. 2023-24
Municipal valuation Rs. 3,80,000, Fair rent Rs. 3,85,000, Standard Rent Rs. 3,75,000, Property
has been let out at Rs. 33000 P.M. The house remains vacant for two months. Rs 23,000 could
not be recovered from the tenant during the previous year. Municipal taxes of Rs. 28,000 are paid
by Tenant as per agreement. Interest on loan taken for the construction of property F Rs. 1,53,800
is paid by assesse.
Problem.No.6 Mr. Rajesh has occupied three houses for his residential purpose. from the
following particulars determine the income from house Property.
Particulars House I House II House III
Municipal Valuation 2,40,000 3,20,000 2,60,000
Fair Rent 2,65,000 3,70,000 2,64,000
SR. under Rent Control 2,50,000 3,30,000 2,72,000
Act.
Municipal Taxes 10 percent MV 10 percent MV 10 percent MV
Fire insurance` 7,000 8,000 19,000
Interest on loan for 75,000 1,61,600 47,000`
construction of house
Date of completion of 25 Apr18 31Mar16 31May 14
houses
Mr. Rajesh has not exercised new taxation regime W/s 115 BAC
Problem.No.7 Gokul owns three houses for his residential purposes. The following are the
details of his houses.
Particulars House I House II House III
Municipal Valuation 40,000 50,000 60,000
Fair Rent 35,000 55,000 60,000
Standard rent 30,000 60,000 58,000
Municipal Taxes 4,000 5,000 5,000
Int. on loan for const. of 75,000 50,000 1,75,000
the houses
You are required to determine the taxable income from house property of Mr. Gokul for .2023-24
assuming that Mr. Gopal has not exercised the new taxation regime 115 BAC.
Dr Sachin Chavan
(MBA, MCOM, Mphil, DTL, Ph.D)
Unit II – Income from House Property
Problem. No 8 Mr. Suresh owns three houses, particulars of which are as follows :
Particulars House A (Let-out) House B (SOH) House C (SOH)
Municipal Valuation 3,60,000 4,80,000 6,00,000
Fair Rent 3,70,000 4,70,000 6,20,000
Standard rent 3,80,000 4,65,000 6,30,000
Annual Rent 3,78,000 4,50,000 6,25,000
Unrealized Rent 15,700 N.A. N.A.
Period of vacancy One month N.A. N.A.
Municipal Taxes @ 10% Paid by tenants Not Paid up to Paid by Suresh
MV 31/3/2023
Constr.completed on 10/4/2010 10/10/2014 10/5/2013
Loan taken for 16/11/2008 15/7/2012 2/11/2012
construction on
Interest paid on Loan 1,70,000 1,53,000 2,55,000
Problem. No. 9 Find out the income from house properties for the Assessment Year 2022-23 and
2023-24. Both the properties are let out the P.Y.2021-22 and 2022-23.
Particulars House A (Let-out) House B (Let-out)
Municipal Valuation 3,60,000 3,45,000
Fair Rent 4,08,000 3,40,000
Standard rent 3,62,000 3,70,000
Annual Rent 4,20,000 2,80,000
Unrealized Rent(PY 21- 30,000 30,000
22)
Period of vacancy One Month NA
Municipal Taxes 36,000 34500
Interest on capital/loan 80,000 152,000
Unrealized rent of P. Y. 28,000 30,000
2021-22 realized
Problem.No.10. Mr. Sham owns a big house (construction completed on 31sMarch, 1999). The
house has three independent Units.
Unit-1: (50% of the floor area) is Let out for residential purpose on monthly of Rs. 16,400. It
remains vacant for one month when it is not put to any use. A sum of Rs. 10,000 could not be
collected from the tenant.
Unit-2: (25 % of the Floor area is used for the purpose of his own residence.
Unit - 3: (the remaining 25 %) of the floor area is used for the purpose of his in profession. Other
particulars of the house are as follows:
Municipal Valuation 2,60,000 Fair Rent 270000 Standard Rent 2,90,000
Dr Sachin Chavan
(MBA, MCOM, Mphil, DTL, Ph.D)
Unit II – Income from House Property
Municipal Taxes Paid 36,000 Repairs 74,000 Ground rent 28,000
Interest Paid on capital borrowed for renewal of the property .2,26,000. Compute the taxable
income from house property for the assessment Year 2023-24. Sham has not exercised new
taxation regime 115 BAC
Problem 11: From the following information compute the Income from house property of Mr.
Naresh for A. Y. 2023-24.
Municipal Value 6,60,000
Fair Rent 6, 70,000
Annual Rent 7,80,000
Municipal Tax Paid 76,000
Amount spent on repairs 66,000
Period of Vacancy 1 month
Interest on Capital borrowed (for F.Y. 2022-23) 1,80,000
Mr. Naresh borrowed a loan of 20 lakhs 10.5% on 1/7/2020 from B the construction of the house.
The construction of the house is comp on 1st Oct. 2021.
Problem.No.11. Mr. Ajay owns house property. The construction of which was completed on 30th
June2022. On 1st Aug.2021, he had borrowed a loan of Rs.8,00,000 for the construction of the
property @10.5% p.a. The property has been let out since Ist July 2022 for rent of Rs. 16,000 per
months. Other particulars related to the house property are as follows:
Municipal valuation (p.a.): Rs.3,80,000; Fair Rent(p.a.): Rs. 3,44,000; S.R. under Rent Control
Act(p.a.): Rs. 3,20,000; Municipal Taxes (10% of MV); Repairing charges paid: Rs. 18,000.
Compute the taxable income from house property of Mr. Ajay for the A. Y. 2023-24
Problem.No.12. Mr. Om owns a building which consists of three of is identical units.
Mr. Om uses unit 1 for his own residence and unit 2 for his business. Unit 3 is let out for residential
purposes. Mr. Om provides the following particulars in respect of the house for the Assessment
Year 2023-24 Mr. Ashok has not exercised new taxation pair regime u/s 115 BAC
Fair rent for each unit is Rs. 80,000. Actual rent received for Unit 3 is Rs 92,000 per annum.
Municipal taxes levied for the entire house were Rs. 27,000. Out of which an amount of Rs.
18,000 has been actually paid. On Ist April 2020 Mr. Ashok borrowed an amount of Rs. 5,00,000
for the construction of the house at the rate of interest of 12% per annum. The construction of the
property was completed on 21 st April 2022.
Calculate the Income from House Property of Mr. Om for the A.Y 2023-24.
Dr Sachin Chavan
(MBA, MCOM, Mphil, DTL, Ph.D)
