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2018 (8) TMI 1064 - HC - Income TaxIncome from House Property - Additions towards notional interest on security deposit - Determination of Annual letting value (ALV) - assessee has offered interest on security deposits kept with banks is offered to tax as income under other heads - Held that:- In the present facts, it is not the case of the Revenue that fixing of the rent was inflated/ deflated on extraneous consideration. Parties to the Agreement are at Arms Length. Therefore, the Municipal Rateable Value can be taken as a safe guide to determine the fair rent of the property. - In the present facts, the Assessing Officer has not carried out necessary exercise to determine the Municipal Rateable Value of the said property. Thus, he could not have come to the conclusion that the amount received/ receivable by the Assessee under Section 23(1)(b) of the Act is in excess of fair rent. - Decided against the Revenue. Appeal admitted on the substantial question of law at (b) Whether on the facts and in circumstances of the case and in law, the Tribunal was justified in holding that society maintenance charges are to be excluded from ALV u/s. 23(1) (b) without appreciating the fact that the actual rent received/ receivable is independent of such charges and that the only deduction allowable under the Act is per section 24?
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