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Municipal Tax - House Property

Sarthak Gupta (28 Points)

01 August 2018

Can Municipal tax paid by Tenant be considered as a part of rent and claimed in calculation of HRA ?

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12 Replies

CA Naveen Chand (Chartered Accountant) (12729 Points)
Replied 01 August 2018

no not at all

municipal tax must be paid by the owner

Anjali P Nair (ACA,ACMA) (582 Points)
Replied 01 August 2018

No municipal tax paid by tenant cannot be treated as part of rent.

It is being deducted from gross annual value for calculating net annual value.

RAJA P M ("Do the Right Thing...!!!") (127053 Points)
Replied 01 August 2018

What is Your actual rent...?

Are you paid the Tax after less the amount in the Rent or Paid excess amount...?

Pratik Surve (Assistant Professor ) (571 Points)
Replied 01 August 2018

NO. YOU CANNOT CONSIDER RENT PAID BY TENANT. YOU CAN CLAIM THAT IN CALCULATON WHEN SUCH MUNCIPAL TAX PAID BY ONLY OWNER OF PROPERTY AND ITS SHOULD BE PAID BUT NOT OUTSTANDING.

CA Naveen Chand (Chartered Accountant) (12729 Points)
Replied 01 August 2018

it should be paid (not payable)

and paid by the owner

then eligible for deduction

(Guest)

deduction for municipal taxes etc levied by any local authority is allowed if they are borne and actually paid by the owner. It must be noted that the taxes are allowed as a deduction only in the financial year in which they are paid.

I suggest to you In future please include municipal tax in Rent in rent agreement for Tax saving...

Sarthak Gupta (28 Points)
Replied 01 August 2018

Actually municipal tax bill is in the name of old tenant who has left the property and tax is paid by new tenant and property is used for B&P purpose by new tenant.

Sourabh Garg (As an Article) (31 Points)
Replied 03 August 2018

Khafi logo ne answer owner ke view point se btaaye hue h...jb ki answer tenant k view point se dena tha...

Sarthak Gupta (28 Points)
Replied 03 August 2018

yes Sourabh garg is right
My question is from Tenant point of view.

(Guest)

Originally posted by : Sarthak Gupta
	yes Sourabh garg is rightMy question is from Tenant point of view.

Mr Sarthak do need to mention all details what u want to ask to members.

ALOK GOEL (chief manager) (593 Points)
Replied 03 August 2018

Tenent is supposed to pay rent only

Owner to get rent from Tenent , owner to Pay House Tax

No tax rebate to owner if House tax is paid by Tenenet ,

Hope all doubts are clear now

REGARDS

RAJA P M ("Do the Right Thing...!!!") (127053 Points)
Replied 03 August 2018

Tenant claim any for the rental amount. He can't claim municipal tax if he paid. Municipal Tax can be claim by Landlord Only. No way for claim any others...