Sop treatment

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Querist : Anonymous

Querist : Anonymous (Querist)

21 August 2013 I currently own 1 flat, where i stay which can be treated as my SOP. On the same floor i have another flat which i have purchased and hence i own both the flats on the floor. After which i combined both the flats into one house. my question is that can i treat both the flats as SOP or I have to treat one as SOP and one as DLOP .
This question arises because there are two different agreements on two different dates.
What should be the tax treatment?

CA PARAS BAFNA

CA PARAS BAFNA (Expert)

21 August 2013 You have combined both the flats. That's good. Now check, how many kitchens you are having. Keep only one kitchen alive.(chances of infighting also will be minimized by doing so).
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The entire adjoining premises can be said as your SOP if the same can be said as one residential unit.
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Querist : Anonymous

Querist : Anonymous (Querist)

21 August 2013 Thank you so much for this. But is there any judgement or CBDT circular regarding this.

CA PARAS BAFNA

CA PARAS BAFNA (Expert)

22 August 2013 Please follow the link -

https://www.caclubindia.com/articles/sec-54f-judicial-analysis-investment-in-more-than-one-units-17399.asp#.UhYk3jEwc54

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