Whether rent includes maintenace or not

1991 views 5 replies

Hi,

My client is getting rental income of 20,000 per month which includes 3000/- maintenance charges. I am confused whether I should take 20,000 as rental income and give 30% standard deduction for maintenace charges or take 17000/- rental income.Please guide.

 

Thanks in advance

Replies (5)

Even if you consider 17000 as rent you are further allowed 30% so this 3000 get unaccountable. Its better to use 20K as rent figure

Deat Shalini, Rent includes maintenance charges if maintenance agreement can't stand alone. For better understanding you may refer rulling J.K. Investors (Bombay High Court)

Full 20,000 is the rent for the purpose of computation, rent here is basically whatever you have received in consideration of letting out the property.This 3000 is also part of the consideration for letting out the property and hence it is includible. Even if there is non monetary benefits then its fair value should also be considered.

From the time since 30% standard deduction has been provided for, maintenance or repairs are not considered.

 

In case property which has been let out require certain monthly or periodical payment to Society or RWA and this 3000 represent that sum then take rent as 17000 else treat entire 20000 as rent and claim 30% as deduction meant for said maintenance only.

Dear Rajesh,

Yes, this 3000/- is monthly payment to society for maintenace . Personally I don't think that  I can take 17000/- as rent and claim 30 % again for maintenance (suggested by others also).

Thanks

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 24 June 2026
ARTICLE ASSISTANT

BHUPINDER SHAH AND COMPANY

New Delhi

CA Inter

View Details
Company
20 June 2026
Assistant Accounts Manager

Fintax Professionals

Gurgaon

CA Inter

View Details
Company
19 June 2026
Accounts Executive

Getfive Advisors Pvt. Ltd.

Ahmedabad

CA Inter

View Details
Company
ARTICLESHIP 10 July 2026
Article Assistant

N S Gokhale & Co

Thane

CA Inter

View Details
Company
22 June 2026
Finance Manager- Chartered Accountant

Triveni Turbine Limited

Bengaluru

CA

View Details
Company
ARTICLESHIP 18 June 2026
Article Assistance

RB KESHRI & CO.

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 20 June 2026
Articleship

RB KESHRI & CO

Mumbai

B.Com

View Details
Company
ARTICLESHIP 28 June 2026
Article Assistant

Sharma Chetan And Company

Gurgaon

CA Inter

View Details