Renting of Residential or Non-residential Buildings
291-D. (a) When a residential or non-residential building is let out to a private person for residential or business purposes rent should be recovered monthly in advance at the market rate prevailing in the locality for similar accommodation used for similar purposes. If the building is let out on rent from month to month the local officer is competent to sanction the rent on recording a certificate that the rent charged is not less than the market rate prevailing in the locality. If a regular lease is to be entered into, the lease should be sanctioned by the head of the department stating in the order of sanction that the rent has been fixed in accordance with the market rate.
(b) When a non-residential building is allotted to a Government servant as a residence the Fundamental Rules will apply. When any such building is definitely converted into a residential building for a Government servant, steps should be taken to assess the standard rent. In the case however of a casual allotment no standard rent need be fixed but the rent shall be recovered at 10 per cent of the Government servants monthly emoluments or at the market rate, whichever is less. If such an allotment is made at the request of the Government servant himself the rent shall be recovered at the market rate irrespective of his monthly emoluments.
291-E. Taxes which by local rule or custom are levied on the owner are treated by the Government as a part of the rent. Taxes which by local rule or custom are levied on the occupier must be paid by the tenant [see also rule (30), Appendix X].
291-F. Additions and alterations to residential buildings occupied at concessional rates of rent will be assessed to rent in the same way as additions and alterations to residential buildings which are assessed to full standard rent.