If a person has no income except income from a single House property and is below the taxable limit. Should he be paying house property tax? Is there any connection between corporation and Income Tax department??
In this scenario, should the person pay the HP tax and then claim refund from IT for having excess tax paid or there is a separate form to claim exemption from paying HP tax by filling a separate form if any??
Can some one clarify
Your income below 250000 you no need to file IT return
Persons eligible for refund of tax from Income tax department, they must pay tax as per Income tax act
Sir
You have not followed my question. Can some serarch persons avoikld paying tax on house property
Yes , agreed with Mr Mehul , property tax is charged by municiple corporation and it is compulsory, you can't avail benefit of it without paying income tax.
Is this the position even if the individual depends on this rental income for livelihood which is below the taxable limit
no. there is no such position.
Payment of House Tax is compulsory and it is to be paid to your Local Municipal Corporation, whether person is liable to pay income tax or not. Liability to pay House Tax has no connection with Income Tax Liability.
You can claim House Tax as a deduction from the Gross Annual Value of your House Property (in case of Rented Property) in your Income Tax Return.
The House property tax paid by taxpayer is adjusted in Income from House by way of Rent etc. If no rent or income from HP then net income from HP is considered zero even you show HP tax paid value. In othe words , even u paid HP tax is not considered for any taxable income and is rounded to zero
Hence you will not get any tax refund of HP tax paid to Municipal board etc. in your case.
regards
CAclubindia
