It is mandatory for the property owners to pay tax against his/her property. When it comes to paying the annual income tax there comes a common term known as loss from house property. In this answer you will learn
what is loss from house property.
In simple words we can say loss from house property is a loss to the property owner who self occupied his property and does not earn any income out of that property. So in the end
Gross Annual value of the property will be nil. Thus claiming the deduction on home loan interest will result from loss from house property.
Reasons of loss from house propertySelf occupied property when the owner lives in himself in the property and the property is not on any kind of trade. Then the income received from the property is nil. Thus the property taxes and home loan interest will result in loss from house property.
In case the property is rented out then if the gross annual value of the property is less then the deductions claim on a property. This situation will also be known as the
loss from house property.
Gross value of property - Net annual value = income under the head house property.
Let us understand with an exampleRahul owns a house which is acquired by him and he does not earn any money out of it. The annual value of the property is Rs. 1,45,000 and
municipal tax paid by him is Rs. 53,000. He also pays the interest on the home loan
that
is Rs. 1,00,000.
So gross value of a property is Rs. 1,45000 and net value of the property is also Rs. 2,45,000
Rs. 1,45000 - Rs. 245000 = (Rs. 1,00,000) is the loss on house property.
This is all about
what is loss from house property.
Your Feedback Matters! How was this Answer?
Shifting, House?
✔
Lowest Price Quote✔
Safe Relocation✔
Professional Labour✔
Timely Pickup & Delivery
Intercity Shifting-Upto 25% Off
Check Prices
Intracity Shifting-Upto 25% Off
Check Prices
City Tempo-Upto 50% Off
Book Now
What is loss from house property
Azmi
196 Views
1
4 Year
2021-07-14T12:25:55+00:00 2021-07-27T10:00:25+00:00Comment
Share