Ato Belay has a house property in Addis. He has let out the house for the residential purposes. The following are the details of the property let out. 1, Actual rent received birr 900 pm. 2, Fair rental value of the house birr 1200 pm. 3, He has paid 15% of the rent received as 4, land taxes and 2% as others taxes to the regional government. 5, He spent birr 1560 for repairs of that house. 6, He does not maintain any book of accounts in this regard. 7, Compute the income from house properly tax payable for the year 1996 – 97 E.C

To calculate the income from house property tax payable, we need to determine the annual rental income, deductions, and the taxable income.

1. Annual rental income:
   Actual rent received per month: 900 birr
   Actual rent received per year: 900 birr/month * 12 months = 10,800 birr

2. Deductions:
   Land taxes paid: 15% of actual rent received = 0.15 * 10,800 birr = 1,620 birr
   Other taxes paid: 2% of actual rent received = 0.02 * 10,800 birr = 216 birr
   Repairs expenses: 1,560 birr

Total deductions = 1,620 birr + 216 birr + 1,560 birr = 3,396 birr

3. Taxable income:
   Fair rental value of the house per year: 1200 birr/month * 12 months = 14,400 birr
   Total deductions: 3,396 birr

Taxable income = Fair rental value - Total deductions
Taxable income = 14,400 birr - 3,396 birr = 11,004 birr

4. Income from house property tax payable:
   Income from house property tax rate is usually 10% in Ethiopia.

Income from house property tax payable = Taxable income * Tax rate
Income from house property tax payable = 11,004 birr * 10% = 1,100.4 birr

Therefore, Ato Belay's income from house property tax payable for the year 1996-97 E.C. is 1,100.4 birr.