<h1>Proposed Direct Tax Code Changes: Taxation on Non-Business Property Income, Deductions, and Notional Rent Concerns Addressed.</h1> The revised Direct Tax Code (DTC) proposes changes to the taxation of income from house property. Key points include taxing income from non-business properties under this head, with gross rent being the higher of contractual rent or a presumptive rent of 6% of the property's ratable value or acquisition cost. Advance rent is taxed in the relevant financial year, and one self-occupied property's gross rent is deemed nil. Allowable deductions include local taxes, 20% for repairs, and interest on borrowed capital. Feedback highlighted concerns about notional rent and suggested retaining interest deductions for self-occupied properties. Proposed modifications include using actual rent for let-out properties and allowing interest deductions for one non-let property.