FCA DISA Mcom CIFRS & LLB
9060 Points
Joined February 2009
1) non-refundable deposits will be included in rent received or receivable on pro rata basis
2)refundable deposits can not be included in rent received or receivable, here point regarding notional interest should be taken into consideration
3)advance is not to be considered
advance rent cannot be rent received/receivable of the year of receipt - CIT v. Prince Rubber & Plastics [2004] 1 SOT 85 (Asr).
As tax is levied only on the income of the previous year,annual value of property, owned by a person during the previous year, is taxable in the following assessment year.