Annual value defined as expected or actual rent, with owner-occupation and stock-in-trade exceptions determining taxability. Annual value is determined as the reasonable expected rent, except where actual rent received or receivable is higher or reduced by vacancy; local taxes actually paid are deductible and unrealised rent is excluded. Owner-occupied houses or houses unoccupiable due to employment are treated as nil annual value (with exceptions for letting or other benefits); where more than two houses exist a nil value may be claimed for two houses only. Stock-in-trade property unlet may be nil for up to two years after completion. Annual value underlies chargeability to tax under Income from house property.