What is the annual rental valuation assessed by the local civic body for levying property tax called?
Question and options
What is the annual rental valuation assessed by the local civic body for levying property tax called?
Municipal value
Actual rent
Fair market rent
Standard rent
Answer and explanation
Correct answer: A - Municipal value
Municipal value is the annual value fixed by the municipal authority for levying property tax, and it is one input in fixing expected rent under section 21(1)(a) of the Income-tax Act, 2025. Fair rent is what similar properties fetch, and standard rent is the rent-control ceiling.
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