Answer: • .-~ucmenr 01 unrealised - - u rent.

. E '"''-'"t;: Pr •
unrealised rent means such rent Whir~t
ch~ • !tt,
cases, ~ -i j l r ~ - ~
unrealised rent shall-be excluded and G A V ~ t11. '"9 It0
arid i ~ • 1
special rreatment like vacancy). shall be hi~~ While c0
e.g. Mr. X has let out one house ,so, ooo P,llJ ~••Ct rtt ' • !4
. or c~Ptct:li~8 ,;.;'8,
standard rent t70,000 p.m. and there was u • : fair
rent ,.
be nreal1zed r ,4s,00o r~, "it,~ a-~,
~/ l\
Expected rent (45,000 x I2) ent for 3 _ P.rn., •
. bl flloriths • lllunlt1
, I)) lh' 1kt,
Rent received /rece1va e (50,000 x 9)
•~ l~:• •
GAV ~~ ~~ :-: -:- :;:: :~~ -:- :-- --- ---
•i\

with and such conditions are :__ __

---.L_,an the cond.
(a)flie --• W t-! d 1at eT .i Ste.ifs to get the
house ltlo11, or Roi
property of the assessee occupied by the same tenant.
property vacated fro0t . e 1 b,,
Ale assessee has taken l ~ o r recovery of
(b) r- I rent or s . the lei.••
proceedings would be use ess. "'<11\t
(c) g ~ s bona.fide (genuine) at1sfies th
e As~,n~
Recovery of unrealised rent Section 25A
If any assessee has recovered unrealized rent ;n subseque
nt years, rent so re
income of the assessee under the head house property
. and it do no t
house property in his name 1n that year or not. If asse mattcove
er red
h sha11 b
ssee has receivean d ym• tw ether.e th
be income of the assessee under the head other sour
ces. If asse ssee h • erest,
proceedin s, 1t. will
. not
be alIowed to be deducted• • as mcurr d
it Wil
r• ga l to ~ e r cent ofthe unrealised ren • e any,
t shal T,e al.,arMlillr,.....
_ 0

Illustration 5: Compute gross annual value in the follo

win,g cases for the assessm
Particulars Situation 1 ent Year
Situation 2 Situation 3 Situi:
Fair Rent (p.m.) 11,000 13,000 16,000 -
14,0
Municipal Valuation (p.m.) 12,000 11,000 18,000 -
9,0(
Standard Rent (p.m.) 13,000 12,000 -
17,000 8,0(
Rent received/ receivable 8,000 12,500 -
(p.m.)
17,000 21,0
Vacancy
- 2 months 3 month I mo
Unrealised rent
1 month - 1 month
Solution: 3mo:
Situation 1
Com~utation of Gross Annual V I
(a) Farr Rent a ue
(11,000 X 12)
(b) Municipal Valuation
(12,000 X 12)
(c) Higher of (a) or (b)
(d) Standard Rent
(13,000 X 12)
(e) Expected Rent {L
(f) Rent ReceivedJR o~er of (c) or (d)}
(8,000 x 11) ece1vable
GAV -H·
Gros~:-~g h~r of (e) or (f)