Taxation of rental income

This query is : Resolved

jhalak tank (Querist)
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28 June 2014 Dear All,
I have bought shop and taken a loan for purchase and other detail is as follow:

Rental income during year Rs. 4,56,000
Interest paid on Loan Rs.5,00,000

can i set off interest paid on loan against rental income from shop or debited to Profit and Loss account...?

Kindly guide me as soon as possible

Querist : Anonymous

Querist : Anonymous (Querist)

28 June 2014 1)Can CCR be booked on Service Tax paid under Reverse Charge if Abatement is availed. e.g.Total value of Works Contract= 100cr
service portion 70% of 100cr= 70cr
Service Tax on 70cr = 8.652cr.
Can credit on Rs 8.652 cr be booked??
OR
If service Tax is been paid on 100cr, Can credit on Service Tax paid on 100cr i.e, 12.36cr be booked??

2) And what about other items like GTA, Renting of Passengers Motor Vehicles etc covered under RCM.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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28 June 2014 you need to offer the income under "house property." any loss on account of higher interest shall be considered as loss from House property.

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