INCOME TAX ACT, 1961

Section 14

Head of income - Income from House property or Business income - Leasing and renting of immovable properties with all infrastructural facilities with providing maintenance and related activities -

Issue was as regards appropriate head of income, for leasing and renting of immovable properties with all infrastructural facilities with providing maintenance and related activities of the said immovable properties including sub-leasing of already leased out property. Held: A perusal of Judgment of Supreme Court showed that it only treated assessee's income by leasing out the property as income from business and profession as claimed by assessee. However, the said Judgment did not deal with income under other heads and no finding was given by Supreme Court. Rental income derived from house property should be treated as business income.

Followed:M/s. Rayala Corporation Pvt. Ltd. v. Assistant CIT (2016) 386 ITR 500 (SC) : 2016 TaxPub(DT) 3682 (SC); Tarapore & Co. v. CIT (2002) 70 CCH 748 (Chen) : (2003) 180 CTR 472 (Mad-HC) : (2003) 259 ITR 389 (Mad-HC) : (2002) 125 Taxman 446 (Mad-HC) : 2003 TaxPub(DT) 0431 (Mad-HC)

REFERRED :

FAVOUR : In assessee's favour.

A.Y. :

INCOME TAX ACT, 1961

Section 14

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