Taxes For Leasing Property

Highlighted below are a Number of Taxes payable along with General Expenses incurred for leasing the property.

1.Fringe Benefit Tax payable by the Employee in case of a Company – Lease – 20% (Tenant to Pay)

2.Service Tax – Presently only on Commercial Property – 12.36% – (Owners to Pay)

3.Property Tax on Leasing/Licensing (more in commercial property) – (Owners to Pay)

4.Stamp Duty and Registration Fees  – (Jointly shared by both the parties in most cases)

5.Income Tax  – (Owners to Pay)

6.Society Maintenance/Non – Occupancy Charges charged by the Society – (Owners to Pay)

7.Municipal Taxes on Property in General – (Owners to Pay)

8.Incidental Expenses/Consultant Fees/Lawyer Fees (owners and tenant to pay)

9.Painting / Polishing / Furniture / Maintenance (owners to pay)

10.Sundry repairs from time to time (owners to pay)

11. Interest payable @ nearly 11% to the Banks for Purchasing the property.

Souce – Sandeep Sadh CEO Mumbai Property Exchange.

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Sandeep Sadh

Mr.Sandeep Sadh is the CEO of www.mumbaipropertyexchange.com . He is been in the relocation business for nearly 20 years now and he has extensive knowledge on the lease market and the subject of relocation. He has used information and technology extensively and with a lot of experience and a very very extensive network of property owners and high net worth individuals, he is able to convert and transact with ease and in turn give you the best possible deal. He is also a columnist in various leading publications.