In case of rent, should i pay cash or cheque to landlord?

This query is : Resolved

Natasha Mourya (Querist)
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28 February 2015 One of my client have a software company, recently he is gonna hire a building @ 33000/- P.M as rent. But the Landlord ask him to pay the amount of rent in Cash, means he doesn't want any kind of Rent bill. In case what to do? should he agree or would there be any prob for him in future?

CA M Indani

CA M Indani (Expert)
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28 February 2015 Pay by chq only... if he is nt agree.. then prrpare rent slips for each payment with revenue stamp theron..nd rdgistered rent agreemnt as suppo. Evidc

Natasha Mourya

Natasha Mourya (Querist)
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02 March 2015 CA M Indani ji, If he pays by Cheque then he should take rent slip or not to show as expenses in Profit & Loss A/c. Actually Landlord doesn't want to bear tds amount. Is tds not applicable? if rent amount is paid in cash & take rent agreement, Why Landlord doesn't want to issue any bill & why does he want amount in Cash, doing so what does he want to hide?

CA M Indani

CA M Indani (Expert)
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02 March 2015 ..............................................................................

Tapas Ruparelia

Tapas Ruparelia (Expert)
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19 March 2015 Dear Expert,

Is TDS not applicable in case rent paid during the year exceeds Rs. 180000?

Also, can payment of rent (being a business expenditure) be made in cash for an amount exceeding RS. 20000?

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