Pankaj Arora (Learner) 16 June 2019
ABC ltd is real estate company, ABC Ltd have given some area to Haldiram Sweets on rent for their restaurant, In return Haldiram Sweets have paid 2 CR for equipment and setting up their outlet.
apart from it, Haldiram sweets will pay monthly rent of Rs 5 Lakh over thirty years lease period with 10% escalation clause after every three years.
My query is how to recognize rental income and amount received Rs 2 CR towards setting up their outlet.
CAclubindia Online Learning offers a wide variety of online classes and video lectures for various professional courses such as CA, CS, CMA, CISA as well as various certification courses on GST, Transfer Pricing, International Taxation, Excel, Tally, FM, Ind AS and more. know more
Giridhar S Karandikar (Team Lead) 16 June 2019
monthly rent received to be recognized as income from house property. 2 crore to be recognized as other income.
TDS needs to be made by haldiram from monthly rent paid.