Licence fee received on godown

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

06 July 2012 I HAVE GIVEN MY GODOWN ON THE BASIS OF LEAVE & LICENSE AGREEMENT @ RS17000/ permonth as license fees for 11 months.Will this income from license fees will be treated as rental income.will I get deduction of 30% from my income as repair costs .how income will be treated please help.will i have to charge service tax on license fee.

Ca Anand Dubey

Ca Anand Dubey (Expert)
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07 July 2012 You cant get deduction of 30% but you can claim repair and it will be treated as business income or Income from other sources

CS, Deepak Pratap Singh

CS, Deepak Pratap Singh (Expert)
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07 July 2012 Dear Friend, Your receipt will be treated as Income from renting and you will get 30% deduction form the gross amount u/s. 23 of the Income tax act and no other deduction will be available except municipal taxes. Thanks