Is a vacant commercial property taxable

Refer section 23: https://www.incometaxindia.gov.in/pages/acts/income-tax-act.aspx

Mukund your view is correct. The 3 house properties, though they are in the same building, they are assessed to tax separately. 1 house is let out and it is chargeable to tax.

However, the meaning of vacancy in the IT Act must be properly understood. If you are getting any kind of benefit from such vacant property, like storage area or at any time occupied by you or anyone else, it will be treated as a deemed let out property and taxable as if it were let out. This is something to be proven.

Assuming that the 2 houses were actually vacant throughout the year, they cannot be treated as deemed let out.

I am merely discussing the chargeability. From a tax planning angle this angle may not be appropriate.