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doubt regarding in house property

IPCC 283 views 1 replies
can anyone explain me the applicability of section 23(5) ..when house property is held as stock in trade...im not able to understand it properly
Replies (1)

23(5) Where the property consisting of any building or land appurtenant thereto is held as stock-in-trade and the property or any part of the property is not let during the whole or any part of the previous year, the annual value of such property or part of the property, for the period up to one year from the end of the financial year in which the certificate of completion of construction of the property is obtained from the competent authority, shall be taken to be nil.

For builders, when the property is not sold even after obtaining completion certificate, for 12 months from the completion FY, the annual rent will be nil. Or no deemed rent charged. (in recent budget 2019, the period has been extended to 24 months)


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