Section 174: Definition of annual value

(1) “Annual value” means—\br @s 2 (a) in case of railway stations, colleges, schools, hotels, factories, commercial buildings and other non-residential buildings, twelve times the value arrived at on multiplying with multiplier to be fixed by rules in the monthly rate of rent per square foot of residential buildings fixed under clause (b) with the covered area of the building or open area of the land or both as the case may be. \br @s 3 (b) in the case of a building or land not falling within the provisions of clause (a), twelve times the value arrived at on multiplying the carpet area of the building, or the area of the land, by the applicable minimum monthly rate of rent per square foot of the carpet area in the case of building or the applicable minimum monthly rate of rent per square foot shall be such as may be fixed once in every two years by the 4 Municipal Commissioner on the basis of the location of the building or the land, nature of the construction of the building, the circle rate fixed by the collector for the purposes of the Indian Stamp Act, 1899 and the court minimum rate of rent in the area for such building or land such other factors, and in such manner, as may be prescribed:\br @s Provided that where the annual value of any building would by reason of exceptional circumstances, in the opinion of the Corporation, be excessive in calculated in the aforesaid manner the Corporation may fix the annual value at any less amount which appears to it equitable.\br @s Explanation :— for the purpose of calculation of annual value the carpet area shall be calculated as under :—\br @s (i) Rooms-full measurement of internal dimension;\br @s (ii) Covered Verandah-fall measurement of internal dimension;\br @s (iii) Balcony, Corridor, Kitchen and Store-50 present measurement of internal dimension ; (iv) Cartage-one-fourth measurement of internal dimension;\br @s (v) Area covered by bathroom, latrines, portico and stair case shall act form part of the carpet area.\br @s Explanation II :— The standard rent the agreed rent or the reasonable annual rent of a building for the purposes of the Uttar Pradesh Urban Buildings (Regulations of Letting, rent and Eviction) Act, 1972 shall not be taken into account while calculating the annual value of that building. \br @s 1 (2) where the Corporation so resolves, the annual value for the purpose of assessment of property taxes shall, —\br @s (a) in the case of land and owner-occupied residential building which is not more than ten years old, be deemed to be 25 percent less and if it is more than ten years but not more than twenty years old, be deemed to be 32.5 percent less, and if it is more than twenty years old, be deemed to be 40 percent less than the annual values determined under clause (b) of sub-section (1) ; and\br @s (b) in the case of residential building let on rent, which is not more than ten years old, be deemed to be 25 per cent more, and if it is more than ten years but not more than twenty years old, be deemed to be 12.5 per cent more than the annual value determined under clause (b) of sub-section (1), and if it is more than twenty years old, be deemed to be equal to the annual value determined under clause (b) of sub-section (1). \br @s