income from house property ppt

1. Topic :- INCOME FROM HOUSE
PROPERTY
NAME - AJAY KUMAR
REGD NO. - 220415140020
SUBJEDCT - INCOME TAX

2. Income Tax is a tax you pay on your income.
The term “income tax” refers to a type of tax
governments impose on income businesses and
individuals within their jurisdiction generate.
Income taxes are a source of revenue for
governments.
Business income taxes apply to corporations,
partnerships, small businesses, and the self-
employed.
Meaning of income tax

3. Under the Income Tax Act, 1961, income generated from house
property is subject to taxation. The Annual Value of any property
is its taxable value and the owner who receives the income from
the property is liable to pay the applicable tax.
Taxation is a key revenue generation stream that is instrumental in
the governance of India. Taxes are applied on a variety of
commodities, services, sources of income and utilities. The taxes
thus imposed aim at the betterment of the same products or
services that are offered to the general public.
Meaning of income of house property

4. 4
What is Income fromHouse Property?
"Income from House Property" is a type of income under the
Income Tax Act, 1961 in India, which is generated by owning
a residential or commercial property. It includes the rental
income earned from letting out the property or any other
income derived from the property, such as income from any
vacant land attached to the property.
The calculation of "Income from House Property" is based on
the annual value of the property, which is the sum of the actual
rent received or receivable by the owner and the notional rent
that could be received if the property were let out at the market
rate.

5. 5
Ways to Save on Income fromHouse Property
There are multiple ways to save on income from house property, they are as
follows:
• Be co-owners: If the individual and his or her spouse have jointly taken a home
loan, both can claim tax exemption towards payment of principal and interest.
• Get a second home: If the assesse already has one property registered in his or
her name, it is a good idea to register the second property in the name of
individual's spouse or relative so as to avoid excess taxation.
• Multiple properties ownership: The Income Tax Act, 1961, states that if an
individual owns multiple house properties, only one of these will be regarded
as self-occupied. The taxpayer needs to evaluate the tax liability on all the
properties he or she owns and occupy the one with the highest tax liability and
give out the others on rent.

6. 6
Whichconditions should be met for ‘Income fromhouse property’ to be taxable?
The following conditions should be met for ‘Income from house property’
to be taxable:
• You are the owner of that property.
• The property is used for any purpose except used by you(owner)for the
purpose of running your business or profession.
• Property consists of any buildings and/or land. Building can be
residential house, factory building, shops, offices etc.

7. Crypto: investing & trading
7
Thank you