Gross Annual Value (GAV)

Gross Annual Value (GAV) – Gross Annual Value (GAV) refers to the annual value of a property that is used to calculate income from house property under the Income Tax Act. It represents the potential rental income a property can generate in a year, regardless of whether it is actually rented out or not. The GAV is determined based on the higher of the following: Actual rent received or receivable, Fair rental value (expected rent based on similar properties), or Standard rent, as defined under the Rent Control Act (if applicable).

Example: If a property could earn ₹3,00,000 as rent in FY 2022–23, that amount is considered its Gross Annual Value, and it will be assessed for taxation in AY 2023–24

For accurate computation of Gross Annual Value and smooth property tax reporting, professional tax filing services can help ensure compliance with the Income Tax Act. Expert assistance minimizes errors, maximizes eligible deductions, and simplifies annual return filing.

Understanding GAV, municipal valuation, and standard rent rules can be complex. Seeking professional Income tax consultation ensures correct assessment of house property income and helps taxpayers avoid notices, penalties, or incorrect reporting.

If you own multiple properties or have rental income questions, opting for online tax consultation provides convenient expert guidance. It helps clarify valuation rules, deductions under Section 24, and accurate declaration in your income tax return.