seniors please help me out.............
This query is : Resolved
12 June 2011
please tell me the proper treatment of unrealised rent in case of house property n vat is to be done when dat unrealised rent realised in d same previous year. it shud b deducted from actual rent receivable or we have to less it from gross annual value????????
12 June 2011
WHEN THE RENT IS REALISED IN THE SAME YEAR HOW IT IS UNREALISED IT WILL BE INCLUDED IN RENT RECEIVED
CA MANOJ GUPTA
JODHPUR
09828510543
CA MANOJ GUPTA
JODHPUR
09828510543
12 June 2011
if it is nt realised in dat year den vat sud be done ????????
12 June 2011
1. UNREALISED RENT ITSELF MEANS RENT NOT RECEIVED.
2. SUPPOSE @2000 PER MONTH RENT RECEIVABLE FOR THE YEAR IS 24000/ OUT OF IT -IF RS. 8000/- IS UNREALISED RENT AS PER THE ACT, YOU HAVE TO TAKE ACTUAL RENT AT RS 16000/ -FOR COMPARISON PURPOSE.
3.16000 IS COMPARED WITH THE REASONABLE EXPECTED RENT (RER) (FINALIST AMONG- FAIR RENT, STANDARD RENT, MUNICIPAL).
SUPPOSE RER IS 20,000.
4.OUT OF 2 AND 3 ,... 3 ....THEN RER IS GREATER , RER WILL BE TAKEN AS GROSS ANNUAL VALUE.
2. SUPPOSE @2000 PER MONTH RENT RECEIVABLE FOR THE YEAR IS 24000/ OUT OF IT -IF RS. 8000/- IS UNREALISED RENT AS PER THE ACT, YOU HAVE TO TAKE ACTUAL RENT AT RS 16000/ -FOR COMPARISON PURPOSE.
3.16000 IS COMPARED WITH THE REASONABLE EXPECTED RENT (RER) (FINALIST AMONG- FAIR RENT, STANDARD RENT, MUNICIPAL).
SUPPOSE RER IS 20,000.
4.OUT OF 2 AND 3 ,... 3 ....THEN RER IS GREATER , RER WILL BE TAKEN AS GROSS ANNUAL VALUE.
13 June 2011
in all cases whether the prop is let for whole year or it is vacant for some time,WE HAVE TO DEDUCT the unrealised rent from actual rent receivable??????????fr ex @2000 per mnth the prop is vacant for 3 mnths n the RER is 20000 n unrealised rent rs 6000 den ?????????
13 June 2011
Unrealised Rent means for which you were entitled to receive but due to tenants " Badmashi" you could not receive it.
In case of Vacancy, no tenant was available in spite of keeping the property ready for let out.
Students are taught to calculate GAV in a stepwise manner-
1. First Step- to find out RER 20000
2. Second Step- Actual Rent 16000+ VACANCY ALLOWANCE 6000 Total 22000
3. Higher of 1 or 2 = 22000
4. Deduct Vacancy Loss =6000.
5. GAV= (3)-(4) = 16000
You will observe that in 2nd step vacancy allowance has been added . The reason for addition is that - we have to deduct it back in step 4.
In case of Vacancy, no tenant was available in spite of keeping the property ready for let out.
Students are taught to calculate GAV in a stepwise manner-
1. First Step- to find out RER 20000
2. Second Step- Actual Rent 16000+ VACANCY ALLOWANCE 6000 Total 22000
3. Higher of 1 or 2 = 22000
4. Deduct Vacancy Loss =6000.
5. GAV= (3)-(4) = 16000
You will observe that in 2nd step vacancy allowance has been added . The reason for addition is that - we have to deduct it back in step 4.
13 June 2011
Unrealised Rent is just like "Bad Debts written off"
"Aapki kismat "sikandar" hogi tabhi Unrealised Rent Realised hoga."
"Aapki kismat "sikandar" hogi tabhi Unrealised Rent Realised hoga."
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Tax on Deemed Capital Gain
- Type of Capital Gain
- Exiting partner in partnership firm in gst portal
- TDS on property - Form 141 query
- F & O PROFIT REPORTING FOR AY 2026-27
- Taxability of credit in canara bank ET & T section (NRO)
- TDS _Long term Capital Gain ref.sec 214 Table 2
- Loss of interest in PF transfer from EPFO to Trust
- Residential status of non resident
- Reporting in TDS return
- Technical Glitch in ITR-4 Online Form (AY 2026-27): Sec 44AE Partner Remuneration not mapping to E8
- Housing Society-ITR5
- TDS on Rent received on redevelopment of building
- Indian IT Portal issue in computing tax as per UK-India DTAA
- Capital Gains on sale of residential flat
- Upload Level ValidationITR3Category of Defect B/D
- PF Taxable Income
- Clarification on Tax Audit Applicability and Reporting of F&O Transactions in ITR-3
- Interest credited in FY2025-2026 & TDS therein by EPFO does not reflect in AIS or Form 26AS
- 44ad eligble money lending interest
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
