Looking for something?
none none
Tax evasion checklist: Not paying wealth tax on second house
Posted on  
February 14, 2012
 
Author  

Owning a vacant second home can attract wealth tax. The tax will be charged on the notional rental income of the property, keeping the market rent of the property's locality as basis.


Certain concessions are applicable with this regard. Loan pending against the house will be subtracted from the market value of the property. Also, if the house is rented for at least 300 days, no wealth tax is to be paid.


Here are the common reasons where you must cross-check before handing over your income tax return (as published in ET Wealth on Feb 13, 2012):




      About the author
      none
      Sudhir Kaushik has been a practicing tax consultant for the last 17 years. He is a Fellow Chartered Accountant and conducts seminars in large companies to help salaried employees with income tax and investment queries. Sudhir brings domain knowledge of income tax laws and their compliance difficulties faced by individuals. He is the author of Income Tax Handbook For Salaried Employees for smart financial planning and investments for salaried people. He enjoys an excellent reputation and has a strong network in the corporate sector and public sector undertakings.
      Related posts
      Earning More than 10 Lakhs? E-filing is compulsory

      Out of the 4 crore income tax returns (ITRs) filed during the financial year 2011-12, 1.64 crore were filed online. Majority of these were ...

      E-filing mandatory for individuals holding accounts or assets abroad

      Most individuals who have travelled outside India for jobs, open a bank account in the visited country. In most cases, the account is not closed ...

      How to Plan Your Taxes

      View quick summary You know it’s time. It’s April and your employer has asked you to submit I-T declaration. You understand that tax ...

      I-T Declaration Time: Declare your Tax Innings in Style

      View quick summary Very soon, your employer will ask you to submit Tax Declaration for Financial Year 2012-13. Based on your declaration, the HR/Finance ...

      How Nonsensical is Year End Tax Planning

      View quick summary A salaried person gets a fair idea about what his annual income would be at the beginning of the financial year. Still ...