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Bungalow given on rent for 2 days

23 July 2014

If an individual gives his bungalow on rent for 2 days for shooting of an advertisement & receives Rs. 50,000/- as compensation then this income will be chargeable under the head "Income from House Property' or 'Income from Other Sources' ?

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12 Replies

CA Raman Goel (CA) (602 Points)
Replied 23 July 2014

House property

1 Like

CA Ritu Chauhan (CA) (170 Points)
Replied 23 July 2014

Now one of my colleague is saying that it should be taxable as business income. I am totally confused.

Jaspal Singh (Practising CA) (449 Points)
Replied 23 July 2014

Income from House Property,,,

1 Like

Madan (Accounts Officer) (154 Points)
Replied 23 July 2014

1 Like

Arif Ali (Apt Co Advisory) (1230 Points)
Replied 23 July 2014

Income from House property

1 Like

Mihir (Wealth Manager) (5293 Points)
Replied 23 July 2014

Chargeable to income from house property.

1 Like

Kunal Vispute (Tax Consultant) (30 Points)
Replied 23 July 2014

Definition Is rent or revenue derived from land and land appertan to

1 Like

Stranger (.) (5531 Points)
Replied 24 July 2014

@ Ritu Chauhan : Rental income from property should always be taxable u/h "House Property", whether it is the main business or subsidiary to the main business of the assessee or even when it is not a business at all. It is only in case of sub-letting by tenant, income is taxable u/h "Other sources" in tenant's hand as he is not the real owner. Only property income used for business purpose is taxable u/h "PGBP". Hope ur confusion is cleared now.

1 Like

Murali krishna (Accounts executive) (48 Points)
Replied 24 July 2014

Income from house property only

1 Like

CA. Rakesh Jangid (B.com. & CA Finalist) (105 Points)
Replied 24 July 2014

If the intention is to earn rent income then house property otherwise if it was given for rent on request to provide accommodation or for shoot of the film as it was vacant only then other sources. My client gives his bungalow in a hills station on a minimal rent to foreign visitors for 1 day or 2 days so often and we show it as income from other sources. It's not my business to do the same so definitely not gonna come under "PGBP".

2 Like