Taxation On Right To Passage | Vkeel - Free Legal Advice

Rahul Kumar Sahu

Ranchi

Suppose a person has a piece of land, and he lets others who have houses behind that land to use it as a common road. He only gives that person right to passage, and no ownership of property is transferred. That right to passage is lifetime. For such right he charges the users a lump sum amount. What will be the taxability here?

Expert's Answers(2)

Advocate J L Naagar
Jalandhar, Punjab

169 Client Ratings

In this case it has become a know source of income and thus is taxable. Please give me Rank Five and follow me after reviewing my resume and book a consultation for further discussion and explanation if required.

March 6, 2021
Advocate Anik
Bengaluru, Karnataka

65 Client Ratings

Hi, Income accrued from this will fall under the head of income from other sources in the Income Tax Act. If you found this helpful, please rate us.

March 2, 2021