Definition of Common Profit and expenses as mentioned in West Bengal Apartment ownership Act 1972

The Act was published on 5^th of July 1972 in the Calcutta Gazette after getting assent from the President of India.

     The object of the Act was to give right of Apartment ownership as well as make such Apartment heritable and transferable property.

Common expenses:

According to section 2(e) of West Bengal Apartment ownership Act common expenses means all expenses which are required for administration , maintenance, repair or replacement of the common areas as well as common facilities in addition to all the other sums estimated against the Apartment owners by the Association of Apartment owners.

Common Profit:

The term Common Profit is mentioned in section 2(f) of West Bengal Apartment ownership Act and it means all income, rent, profit and revenues which are earned from the common areas and facilities after the deduction from the common expenses.

Generally the term profit means increase of income over expenditure and the term common means which is shared by all the apartment owners.

Profit= Income –Expenses where Income > Expenses

Also read: West Bengal Land measuring unit and their relation