Please Wait ..

Sign-in to your account


Username:
Password:

Remember Me

Forgot your password?

Sign-up now



Join CAclubindia.com and Share your Knowledge. Registered members get a chance to interact at Forum, Ask Query, Comment etc.


Discussion > Income Tax > TDS >

TDS On Reimbursement of Electricity Bill

    Post New Topic
Pages : 1 2 3





M-F&A


[ Scorecard : 69]
Posted On 30 May 2008 at 12:56 Report Abuse

Our Company has taken office on Rent, Beside Rent we are paying Electricity charges to landlord (i.e. Company) as per their own Invoice raised by them for Electricity used by us and also they charges Service Tax on that, so i think this is not actual reimb.of expenses (electricty). So TDS to be deducted on it or not ? if deducted under which section and what percentage ?. Please respond.


Online classes for CA CS CMA



Azmathullah Khan
Accounts Manager


[ Scorecard : 1358]
Posted On 30 May 2008 at 14:42

Mr. Suresh

Good question, even I am confuse, later I verified ur queries

 If the landlord is issuing u the seperate bill then no need to deducted the TDS, but u have to demand the photocopy of the bills.

If he is adding the bill to the rent, then u have to deducted the TDS on total amount.

The rate of tds for Rent is 15% plus Surcharge 10% if the amount is exceed the limit and Ed is 3% for Individual

The rate of tds for Rent is 20% plus Surcharge 10% if the amount is exceed the limit and Ed is 3% for Company

 





CA Akshat
article


[ Scorecard : 417]
Posted On 30 May 2008 at 15:13

i think u must pay the bill seperately and ask him not to add in rent

u can avoid TDS as afterall electricity bill is payment to govt.




suresh
M-F&A


[ Scorecard : 69]
Posted On 30 May 2008 at 19:09

I think my question is not cleared,  I explained it further to seek answer - Landloard charge separately electrcity bill and not including in rent bill, and raise bill of electricity charges only but he charge per unit say Rs.8/- flat not as per govt.charge. Now in this case i think TDS applicable u/s 194J, since it is service rendered case. Please repond.Thanks.




Azmathullah Khan
Accounts Manager


[ Scorecard : 1358]
Posted On 31 May 2008 at 11:19

No TDS on electricity Bill, as ur sharing the bill with the landlord., I clearly mention u in my previous answer  If the landlord is issuing u the seperate bill then no need to deducted the TDS, but u have to demand the photocopy of the bills to be attached with Voucher.

 

 




(Guest)
Posted On 16 June 2008 at 11:13

our compnay is paying rent to landlord. what is the rate o tds




Azmathullah Khan
Accounts Manager


[ Scorecard : 1358]
Posted On 16 June 2008 at 14:30

Ms Asha

TDS on rent  for Individual 15%,  For Company 20%

Add 3% Ed. Cess

If the amount of Rent is above 10L for Individual & 1 crore for company then add S. charges 10%

Attached for Details



Attached File : 32 form 16 16a.xls downloaded 217 times


(Guest)
Posted On 25 July 2008 at 18:55

We as landlords raise rent inovice and debit note for electricity reimbursement as per clients actual consumption separately. The tenant is insisting to deduct tds on the electricity amount. As per him, any payment made under leave & license agreement is liable for tax deduction u/s 194 i. Although we are raising separate debit note to the tenant as per his actual consumption and also attach a copy of the Energy Bill.

I just read your comment, which sounds very convincing. But could you provide  me  proper reference in the IT Act or particular section which throws light on this issue of deducting tds from electricity reimbursement.




(Guest)
Posted On 29 July 2008 at 17:31

Originally posted by :Guest
" We as landlords raise rent inovice and debit note for electricity reimbursement as per clients actual consumption separately. The tenant is insisting to deduct tds on the electricity amount. As per him, any payment made under leave & license agreement is liable for tax deduction u/s 194 i. Although we are raising separate debit note to the tenant as per his actual consumption and also attach a copy of the Energy Bill.
I just read your comment, which sounds very convincing. But could you provide me proper reference in the IT Act or particular section which throws light on this issue of deducting tds from electricity reimbursement.
"



(Guest)
Posted On 20 October 2008 at 16:08

Please confirm whether the TDS is applicable on electricity bill raised by landlord on actual consumption basis. As lanlord make the consolidate payment for whole building and raise the invoices to tenants as per floor wise actual consumption.



There are 20 Replies to this message





Related Files








Related Threads


Post your reply for TDS On Reimbursement of Electricity Bill



Your are not logged in . Please login to post replies

Click here to login


Not a member yet ?? Click here to signup

Message







    

  • Use thank button to convey your appreciation.
  • Maintain professionalism while posting and replying to topics.
  • Try to add value with your each post.




Forum Home | Forum Portal | Member Control Center | Who is Where | Popular Threads | Today's Topic | Recent Posts | Today's Posts | Post New Topic | Thread With Files | Top Threads This Month | Forum Stats | Unreplied Threads

back to the top