So friends, we have already discussed about charging
section.
What is charging section?
In any head of income, which is our 5 head of income, what
type of income, when to put tax on that income, how to put
tax, that is told by our charging section.
So, we are discussing about house property, so there must
be a charging section in house property also.
So, we will proceed with full procedure.
Let's proceed with charging section.
Section no.
22, you can open the link on google drive, and you can see
me here also, as you are comfortable.
You can see here also, it will be better.
So, let's start with charging section.
Section no. 22.
Come sir.
So, it says that process of computation of income starts
with determination of annual value of the property.
What is it saying?
Annual value.
This is a very important thing friends.
I told you that income tax is imposed on house.
So, some people will think that my house is of 5 crores, so
will I take tax on 5 crores?
Or someone will say that I have farmhouse of 50 crores, so
will I take tax on farmhouse of 50 crores?
No.
On what you have to pay tax?
On annual value.
Pay attention friends.
What is it?
Annual value.
Annual means yearly.
Value means its value.
Whatever you can get from it in monetary or cash, that is
its value.
So, discussion of annual value will be going on in this
topic.
How to get annual value?
And what are the minuses in it?
Do you have to pay tax on full value of the property?
Or annual value?
Do you have to pay annual value or full value?
Annual value.
Let's move ahead.
Pay attention to this word.
This word is very important.
Yes.
So, process of computation of income starts with
determination of annual value.
So, how to get annual value?
It is written in section no.
23, which is next section of charging section.
So, annual value of the property comprising of building and
land appurtenant.
Sir, what are you saying? Land appurtenant?
Friends, land appurtenant means that you must have seen any
building.
There is a small garden in front of the building.
Or someone has taken some land in the back.
The attached building of 20-30-50 acres is in our own house.
It is like a small piece of land.
It is called land appurtenant.
Land appurtenant.
Appurtenant means attached.
What happens, friends?
Pay attention.
Do not worry.
When we used to study for the first time, we also did not
understand.
But today, we have started to understand.
Annual value of the building will be calculated.
Or the value of the attached land which you have purchased
with that building will be calculated.
You are the owner of that land.
You are not a tenant, friends.
There is no respect for tenants in this world.
There is no respect in the income tax of this world.
You are the owner of a building.
Or if there is some land around that building, then you
will be charged income tax.
On whom will you be charged income tax?
On this.
On the annual value.