JENEFER. S (Costing) (26 Points)
26 March 2012Dear Friends,
Request to clarify my doubt.
We are paying the rent to owner for 20 houses, each by Rs.2000 p.m.
Slap rate Rs.180000 p.a. will applicable house wise or individual receipt wise.
Whether we need to deduct TDS or not?
Pls help me on this.
Regards
Jenefer
Vinod
(CA in Practice)
(445 Points)
Replied 26 March 2012
You must deduct tax. The Rs. 180,000/- is for each person... no relevance on the no. of premises or contracts on which you are paying rent..
CA Ankit Totla
(Practicing Chartered Accountant)
(469 Points)
Replied 26 March 2012
Yes.. TDS applicable if the amount paid by you exceeds the maximum amount not liable to TDS.
If it would have been housewise, mere changes in lease agreement would lead to avoidance of TDS.
Pradip
(Accountant/Management)
(106 Points)
Replied 26 March 2012
TDS have to deduct on total payment during the year.
BADRE ALAM
(Accountant)
(33 Points)
Replied 26 March 2012
If you r paying early rent of Rs. more than Rs. 180,000/-(180,001) to a individual onwards, u have to deduct the tds on Rs.180,001
Senthil Prabu
(Manager)
(22 Points)
Replied 27 March 2012
I have a different view on TDS chargeability on an individual :
An individual or a Hindu undivided family, whose total sales, gross receipts or turnover from the business or profession carried on by him exceed the monetary limits specified under clause (a) or clause (b) of section 44AB during the financial year immediately preceding the financial year in which such income is credited or paid, shall be liable to deduct income-tax under this section... I understand the monetary limits is Rs60 lacs. Please correct me if I am wrong.
Kalpesh Chauhan,
(Tax Assistant (Accounting Technician CA FINAL CS PROF. PROG. B.Com))
(8310 Points)
Replied 27 March 2012
The applicability of Sec.192, 193, and all the sub sections of Sec.194 & Sec. 194 will be applicable to only those assessees who has been fall under tax audit u/s 44AB of the Income Tax Act, 1961 during last year. If the Sec.44AB is applicable to the assessee then the following will the answer of the query asked by you
"Yes. You have to deduct Tax at 10% as because the limit of Rs.180000 is for an aggregate amount of payment made towards rent in case of building is made in any previous on or after 1.7.2010 and the said llimit was Rs.120000 before 1.7.2010.
Kindly note that it does not matter whether you have paid rent for one building or to 20 building or even number of persons to whom payment has been made will not make any difference regarding deducting tax from such payment. "
Maneesh Kumar
(B.Com M.Com STUDENT CWA IPCC)
(507 Points)
Replied 27 March 2012
sri .MBA,CS inter
(0)
(51 Points)
Replied 28 March 2012
194I Apply only if pmt exceeds Rs 180000 pa for each co owner .
Vinod
(CA in Practice)
(445 Points)
Replied 31 March 2012
Dear friends,
This is a related query.
If one person resides at B'lore in a rented house as he is employed there, leaving his own house at Kochi vacant.
The house at Kochi can be treated as self occuppied as per Sec. 23(2)(b).
Now, whether he can claim HRA exemption from the salary income he earned at B'lore ? (Because he already enjoys the self aoocuupied status and claims zero annual value for his house at Kochi).
Please share your views.
Thanks,
rohit
(Accounts)
(101 Points)
Replied 31 March 2012
Dear friends,
There is query about TDS.
There is a bill of Rs 110 issued to client which includes 100 for warehouse charges and Rs10 as our part .Now we paid Rs 90 to warehouse after deducting TDS @ 10% as rent and keep Rs 10 as our part . In this case client need to deduct tds on Rs110 or not?
Thanks
Mohit
sajid
(Auditor)
(214 Points)
Replied 31 March 2012
Yes, you must deduct TDS on the Bill amount of Rs.110/- , which is issued to the client.
Anshul Jain
(Article)
(33 Points)
Replied 01 April 2012
If amount of Rent credited excceds Rs. 180000 then Tds should be deducted at 10%
CAclubindia
