Common Area Maintenance and non-occupancy charges paid are deductible from rent in computation of ‘Annual Letting Value’ u/s 22

DCIT Vs. Yogen D. Sanghvi (ITAT Mumbai) The Muribai Tribunal in case of Realty Finance & Leasing (P.) Ltd. vs. ITO (2006) 5 SOT 348 (Mum) held that society charges paid by appellant in respect of its let out properties are allowable while computing annual value. This was followed in case of ITO vs. Farouk D. Vevaina (2009) 121 Ui 510 (Mum). The Gauhati’ Tribunal in case of ITO vs. Vijay Kumar Bawari 19 1TJ 562 (Gau) held that where electricity charges payable by the tenants are borne* by the landlord by an agreement, such charges will have to be reduced from the actual rent received ...