Property Possession Related ITR Disclosure

If someone purchases a property and the registry is done in their name, but they haven't taken possession or completed the Dakhil Kharij formalities, they still need to report the property in their Income Tax Return (ITR). Reporting in ITR: The property owner should report the property in their ITR, as the registry is done in their name, making them the legal owner. Rental Value: Since the owner hasn't taken possession or completed the Dakhil Kharij formalities, they can't claim any rental income. However, they might be liable for notional rent, also known as "deemed rental income." Deemed Rental Income: The deemed rental income is calculated based on the property's value and the municipal valuation. The owner can claim deductions like municipal taxes, interest on loan, and maintenance expenses. Key Considerations: - *Date of Registry*: The deemed rental income is calculated from the date of registry. - *Property Type*: The type of property (residential or commercial) affects the deemed rental income calculation. - *Municipal Valuation*: The municipal valuation of the property is used to calculate the deemed rental income. Recommendation: Consult a tax professional or chartered accountant to accurately calculate the deemed rental income and ensure compliance with income tax regulations. Relevant Sections: For more information, refer to the Income-tax Act, 1961, specifically: - Section 22: Income from house property - Section 23: Annual value of house property - Section 24: Deductions from income from house property

As I understand now anyone can show two properties as Self Occupied. In that case I think the person need not show Deemed Rental Income on this property.

Am I right.