Situation

Description

A

Where Composite rent includes Rent on building & charges for other Supplementary Services, e.g, Gas/ Electricity/Lift service etc.  

• The value of such services if, should be determined and the Building rent will be taxed under House property & services will be taxed under Other Sources or Business Income if letting out is regular business.

B

Where Composite rent includes Rent on building and other assets, e.g., Furniture, Equipments & are Inseparable:  

• Total rent received including for assets is taxed under Other Sources or as Business income.

C

Where Composite rent includes Rent on building and other assets, e.g., Furniture, Equipments & are Separable:  

• Rent for building is taxed under House Property and for Assets under House property & services will be taxed under Other Sources or Business Income if letting out is regular business.