Tax on Income from renting of terrace for erection of mobile antenna tower

Maker Tower Premises Co. Op. Society Ltd. Vs ACIT (ITAT Mumbai)

Rent is for space to host the antennas and not for the antennas. As long as the rent is for the space, terrace and roof space in this case and which space is certainly a part of the building, the rent can only be taxed as ‘income from house property’.

 In view of the above discussions, and as the rent received by the assessee for use of space, by Telecom Companies, in a building, or part thereof, owned by the assessee, in our considered view, the rent so received must be taken into account in computation of annual value to be taxed under the head “income from house property”. Accordingly, as learned counsel for the assessee rightly contends, the deduction under section 24(a) is admissible on the facts of the present case.

FULL TEXT OF THE ORDER OF ITAT MUMBAI

1. By way of this appeal, the assessee appellant has challenged correctness of the order dated 18^th January 2019, passed by the Ld. CIT(A)-28, Mumbai in the matter of assessment u/s.143(3) of the Income Tax Act, 1961, for the assessment year 2014-15.

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