deepak kumar srivastava (na) (281 Points)
16 January 2016X let out his property to Y. Y sublets it. How is sub-letting receipt to be assessed in the hands of Y.
PLEASE PROVIDE REASON IN SUPPORT OF UR ANSWER
Vishal Goel
(Chartered Accountant)
(1688 Points)
Replied 16 January 2016
Rental income in the hands of owner is charged to tax under the head “Income from house property”. Rental income of a person other than the owner cannot be charged to tax under the head “Income from house property”. Hence, rental income received by a tenant from sub-letting cannot be charged to tax under the head “Income from house property”. Such income is taxable under the head “Income from other sources”
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