Whether municipal taxes under income from house property includes PROPERTY TAX?
If an assessee gives property tax whether it will be deducted while computing income from house property?
Giridhar S Karandikar
(Team Lead)
(7543 Points)
Replied 31 May 2012
Yes Municipal taxes means property tax. You get the deduction of the this tax paid, only if your property is let-out during the F.Y. In case of SOP no deduction is allowable
Ashutosh
(Article Assistant)
(72 Points)
Replied 31 May 2012
Thanks for the reply...
From where i would get a further affirmation? Is there any case law supporting the contentioon that property tax and municipal tax are same?
Prateek Agarwal
(Sr. Executive - Finance & Accounts)
(1732 Points)
Replied 31 May 2012
They are the same thing...There may be a bifurcation between water tax etc. but property tax and municipal taxes are the same thing.
Hence, it is claimable for your let out property.
K Ganesan
(AGM(Fin))
(21 Points)
Replied 01 June 2012
Can the Municipal Corporation(Gurgaon) charge Municipal Tax with retrospective effect.Also the aera in question
is maintained by another state Govt agency called Haryana Urban Development authority.Kindly clarify.
Regds.K Ganesan,Gurgaon.
Dixit Shah
(Articleship)
(286 Points)
Replied 01 June 2012
Property Tax is part of Municipal Taxes.
So while computing IFHP. u/s 23(1) , You can get deduction when it is actually paid.
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