Dear Members Pls solve this query
One of my clients having a salary income and House property income ( Single property -4 floors out which 3 are let out and 1 is self occupied by my client.)
My query is
1. Which ITR form to be filled in ? ITR 1 or ITR 2?
2. What is the % to be taken for claiming the interest and principal on loan barrowed against property from SBI as it is both let out and self occupied.
3. what is the impact on tax - If one of the floor is given to his relative say sister in law either on lease or free of cost but no rentals received?
According to me
- only one building is situtated so ITR 1 is to be used
- No % calculation is required
- No rental income received during the period of lease or given to relative wihtout consideration so no question of tax.
This is my opinion Pls suggest If i am wrong and suggestions are invited urgently
Thanks in advance
CAclubindia
