Applicability of tds on rent

This query is : Resolved

Guest

Guest (Querist)

07 December 2011 Dear Friends & Experts,

A,a salaried individual has started paying rent of Rs.14000/- along with Rs.3000/- maintenance with effect from November 16, 2011.

A has recently changed her house to the new rental premises.

Query

Whether TDS is applicable for such rent payment from November 16, 2011 onwards.

Ans : .......................

If TDS is to be deducted, should it be deducted only on the rent amount of Rs.14000/- or Rs.17000/- inclusive maintenance.

Ans : .......................

Please clarify whether TDS is applicable on rent premises used by a salaried individual.

I shall wait for the reply.

Thanks.

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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07 December 2011 TDS deduction is not required by salaried individuals paying rent unless they fall within the ambit of Tax Audit.

Who shall deduct tax at source?

Every person responsible for making payment of nature covered by TDS provisions of Income Tax Act shall be responsible to deduct tax.

However in case of payments made under sec. 194A, 194C, 194H, 194I and 194J in respect of individual and HUF, only if the turnover or professional receipt exceeds sum of60 lakh or15 lakh respectively (i.e. if Tax Audit Applicable) in previous year, he is required to deduct tax at source.

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