Skip to content

CS Executive · Tax Laws and Practice · Income under the Head House Property

Under the Income-tax Act, 2025 (applicable from the June 2027 session), which of the following is the basic condition for the annual value of a building to be chargeable under the head "Income from house property"?

The annual value is chargeable under Income from house property when the assessee owns the building or the lands appurtenant to it. Ownership is the charging condition; actual letting or personal residence is not required, and business-occupied portions are excluded.

  1. AThe assessee must be the owner of the building or lands appurtenant theretoCorrect
  2. BThe assessee must have let out the building throughout the tax year
  3. CThe assessee must be residing in the building
  4. DThe building must be used for the assessee's business or profession

Explanation

Section 20(1) charges the annual value of property consisting of buildings or lands appurtenant thereto, owned by the assessee, under the head Income from house property. Ownership is the test. Letting out or residence is not required, and a portion occupied for the assessee's own business is excluded by section 20(2).

Did you get it right without looking?

One question tells you little. A timed set on Income under the Head House Property shows your real accuracy, how long you take and where you lose marks.

Practise Income under the Head House PropertyFree diagnostic mock

More Income under the Head House Property questions