TMI Blog2022 (5) TMI 37X X X X Extracts X X X X X X X X Extracts X X X X ..... ich the property should have been let out. It has cast the upon the assessee to furnish such alternate figure albeit without disputing the fact that the assessee has received monthly rent of Rs. 30,000/- per month which has also been correctly reflected in the return of income. Section 23 of the Act deals with the method of the determination of the 'annual value' of a house property. Section 23(1)(a) defines the 'annual value' of a house property as 'the sum for which the property might reasonably be expected to let from year to year'. AO has not disputed the receipt of monthly rent of Rs. 30,000/- as having been received by the assessee. Further, the Ld. AO has not brought anything to on record to prove that the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of justice shall be time of hearing. Total tax effect Rs. 2,80,480 3. 3. The facts of the case are that the assessee was working in Cadila Pharmaceutical Ahmedabad and earned income from salary (Rs. 49,37,668/), loss from house property (Rs. (-)7,69,954/-) and income from other sources (Rs. 17,869/-). During the course of assessment proceedings, the Ld. AO enquired into the loss of Rs. (-)7,69,954/- claimed under the head house property and asked the assessee to produce copies of evidences and materials in respect of the same. The assessee submitted that the property was let out for a rent of Rs. 30,000/- per month and after claiming statu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ber 2015. All the relevant documents for home loan, rental income (i.e. Debit Notes) interest paid to the bank were submitted to Assessing Officer on 12th October, 2015. Further the learned Assessing Officer had asked during the course of assessment regarding standard rent municipal valuation, in response to that vide letter dated 21st January 2015 we has submitted that the house has been leased out to daughter in law Mrs. Mouli Vyas as she was doing some business in HR over there. There is no relevant of any municipal valuation or any other valuation, as it was given for a short period. As per section 24b of the Income tax act. income chargeable under the had income from house property shall be computed after making the f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ghter-in-law) of the assessee and drew our attention to Page 18 of Paper-Book, wherein he pointed out that the confirmation of the tenant, along-with PAN number has been placed on record. He further drew our attention to pages 19-20 of the Paper-Book i.e. bank statement reflecting receipt of rent through banking channels. The Ld. Counsel for the assessee also drew out attention to interest certificate issued by Axis Bank at page 21 of Paper Book. He further drew out attention to Pages 22-23 of paper book reflecting loan statement issued by Axis Bank and pages 24 to 28 reflecting home loan agreement for a loan of Rs. 1,18,00,000/- for a period of 15 years. The Department in response placed reliance on the observations of Ld. AO and Ld. CIT(A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o not come up with any alternate figure of rent for which the property should have been let out. It has cast the upon the assessee to furnish such alternate figure albeit without disputing the fact that the assessee has received monthly rent of Rs. 30,000/- per month which has also been correctly reflected in the return of income. Section 23 of the Act deals with the method of the determination of the 'annual value' of a house property. Section 23(1)(a) defines the 'annual value' of a house property as 'the sum for which the property might reasonably be expected to let from year to year'. In our view, the Ld. AO has not disputed the receipt of monthly rent of Rs. 30,000/- as having been received by the assessee. Furt ..... X X X X Extracts X X X X X X X X Extracts X X X X
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