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2023 (3) TMI 100 - ITAT VISAKHAPATNAMCorrect head of income - taxability of rental income - “income from house property” or “income from other sources” - addition made under 143(1) intimation - AR contended that rental income of a person other than the owner cannot be charged to tax under the head “income from house property” - HELD THAT:- There is no dispute that the assessee took the property for lease and sublet the property, thereby, received rental income and offered the same as income from other sources. The contention of the revenue is that the assessee failed to show the rental income under the head “income from house property” based on entries in 26AS. We have gone through the section 22 of the Act, which deals with the rental income chargeable to tax under the head “income from house property”. This provision clearly establishes that if the assessee is owner and thereby receives any income from house property, it should be taxed under the head “income from house property”. But in the case on hand, the assessee received rent only by sub letting the property, therefore, we are of the view that the assessee has rightly shown the rental income under the head “income from other sources”. We, therefore, direct the AO to delete the addition made under 143(1) intimation. Hence, the grounds raised by the assessee are allowed.
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