Notional rent cannot be charged on property legally not occupiable

Sharan Hospitality Private Limited Vs DCIT (Bombay High Court) The Revenue appears to be raising a contention that since the Assessee in any case leased out the property with effect from 1st April, 2008 without waiting for OC, the entire period during which the Assessee could have let this property, tax on notional basis should be charged. In our opinion, this is fallacious contention. In plain terms, between 1st January, 2009 to 31st March, 2009, the property was legally not occupiable and not occupied. Under such circumstances, charing of tax on notional rental basis and the question of inte...