My mother got last year 1 lakh rupee as rent from her property.
The article showed 30% deduction as actual rent received.
My question is it includes repair and maintenance charges
Our maintenance charge is somewhere around 1700 per month.out of which 900 somewhat is muncipal taxes.
I have a feeling that i must deduct 900*12 =10800 apart from the basic 30% charges.In short total deduction should be 40800 and not only 30000 rupees.
Reason being repair charges say in year was 27000 and other maintenance excluding muncipal taxes is say 8000.Still than i can only get 30000 total deduction.And sureshot everyyear i have to pay taxes.In short ill be paying taxes on more money than i am actually required to pay.
Am i correct in my calculations?