Unrealised rent rules define when unpaid tenancy rent may be treated as irrecoverable under the tax framework. Unrealised rent is the rent receivable by an assessee from a tenant that remains unpaid and is proved to be lost and irrecoverable. It applies only where the tenancy is bona fide, the defaulting tenant has vacated or steps have been taken to compel vacation, the tenant is not occupying any other property of the assessee, and the assessee has taken reasonable steps to recover the rent through legal proceedings or satisfies the Assessing Officer that such proceedings would be futile.