Income Tax Act, 2025
Section 11: Ins. by Act 14 of 2001, s. 13 (w.e.f. 12002).
11. Ins. by Act 14 of 2001, s. 13 (w.e.f. 12002).
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18. [Interest on securities.]—Omitted by the Finance Act, 1988 (26 of 1988), s. 10 (w.e.f. 11989).
19. [Deductions from interest on securities.]—Omitted by s. 10, ibid. (w.e.f. 11989).
20. [Deductions from interest on securities in the case of a banking company.]—Omitted by s. 10,
ibid. (w.e.f. 11989).
21. [Amounts not deductible from interest on securities.]—Omitted by s. 10, ibid. (w.e.f. 11989).
C.—Income from house property
22. Income from house property.—The annual value of property consisting of any buildings or
lands appurtenant thereto of which the assessee is the owner, other than such portions of such property as
he may occupy for the purposes of any business or profession carried on by him the profits of which are
chargeable to income-tax, shall be chargeable to income-tax under the head “Income from house
property”.
2[23. Annual value how determined.—(1) For the purposes of section 22, the annual value of any
property shall be deemed to be—
(a) the sum for which the property might reasonably be expected to let from year to year; or
(b) where the property or any part of the property is let and the actual rent received or receivable
by the owner in respect thereof is in excess of the sum referred to in clause (a), the amount so
received or receivable; or
(c) where the property or any part of the property is let and was vacant during the whole or any
part of the previous year and owing to such vacancy the actual rent received or receivable by the
owner in respect thereof is less than the sum referred to in clause (a), the amount so received or
receivable:
Provided that the taxes levied by any local authority in respect of the property shall be deducted
(irrespective of the previous year in which the liability to pay such taxes was incurred by the owner
according to the method of accounting regularly employed by him) in determining the annual value of
the property of that previous year in which such taxes are actually paid by him.
Explanation.—For the purposes of clause (b) or clause (c) of this sub-section, the amount of
actual rent received or receivable by the owner shall not include, subject to such rules as may be
made in this behalf, the amount of rent which the owner cannot realise.
(2) Where the property consists of a house or part of a house which—
(a) is in the occupation of the owner for the purposes of his own residence; or
(b) cannot actually be occupied by the owner by reason of the fact that owing to his employment,
business or profession carried on at any other place, he has to reside at that other place in a building
not belonging to him,
the annual value of such house or part of the house shall be taken to be nil.
(3) The provisions of sub-section (2) shall not apply if—
(a) the house or part of the house is actually let during the whole or any part of the previous
year; or
(b) any other benefit therefrom is derived by the owner.
(4) Where the property referred to in sub-section (2) consists of more than 3[two houses]—
(a) the provisions of that sub-section shall apply only in respect of 4[two] of such houses, which
the assessee may, at his option, specify in this behalf;
1. The heading “B.—Interest on securities” omitted by Act 26 of 1988, s. 10 (w.e.f. 11989).
For the purposes of section 22, the annual value of any
property shall be deemed to be—
the sum for which the property might reasonably be expected to let from year to year; or
where the property or any part of the property is let and the actual rent received or receivable
by the owner in respect thereof is in excess of the sum referred to in clause
where the property or any part of the property is let and was vacant during the whole or any
part of the previous year and owing to such vacancy the actual rent received or receivable by the
owner in respect thereof is less than the sum referred to in clause
or clause
of this sub-section, the amount of
actual rent received or receivable by the owner shall not include, subject to such rules as may be
made in this behalf, the amount of rent which the owner cannot realise.
Where the property consists of a house or part of a house which—
is in the occupation of the owner for the purposes of his own residence; or
cannot actually be occupied by the owner by reason of the fact that owing to his employment,
business or profession carried on at any other place, he has to reside at that other place in a building
not belonging to him,
the annual value of such house or part of the house shall be taken to be nil.
The provisions of sub-section
shall not apply if—
the house or part of the house is actually let during the whole or any part of the previous
year; or
any other benefit therefrom is derived by the owner.
Where the property referred to in sub-section
consists of more than 3[two houses]—
the provisions of that sub-section shall apply only in respect of 4[two] of such houses, which
the assessee may, at his option, specify in this behalf;
1. The heading “B.—Interest on securities” omitted by Act 26 of 1988, s. 10 (w.e.f. 11989).