Rental income to partnership firm

Surinder Pal Singh (Practice) (37 Points)

13 September 2011  

Dear All,

A Commercial Plot was alloted to Partnership firm. According to partnership deed, firm's main business is to run an vehicle service station, But due to some reasons, business could not start & firm let out the property to another person. My query is

1) whether rent recieved by partnership firm will be treated as "Income from House Property" or "Business Income"?

2) If it will treat as "Income from House Property", then whether salary and interest u/s 40(b) is allowed against this income?