New Delhi:
King of Bollywood Shah Rukh Khan has to include notional rent from his Dubai villa on income tax returned filed by him in India, ruled Income-tax Appellate Tribunal (ITAT), according to media reports.
Shah Rukh Khan has to include notional rent from his Dubai villa in his income-tax return filed in India, the Income-tax Appellate Tribunal (ITAT) has ruled.
Khan had submitted to ITAT that under the India-UAE tax treaty, income from immovable property in Dubai would be liable to tax in the UAE and, therefore, he had not offered it to be taxed in India.
The ITAT rejected his contention. However, the two-member ITAT (Mumbai) bench of Amit Shukla and G S Pannu added: 'Credit for taxes paid in the UAE, if any, would be allowed as per the law.'
Khan had been gifted a villa in Dubai and he obtained possession on June 18, 2008. For the financial year 2008-09, the I-T officer estimated the deemed rental value to be Rs 96 lakh. After allowing for a 30% standard deduction, he sought to tax Rs 67.2 lakh in the hands of Khan.
