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Tds on book adjustment

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Querist : Anonymous

Querist : Anonymous (Querist)

09 February 2012 I have taken on rent our clients premises. He deduct complete amount of rent from payments for services being rendered by me.

As per me, the moment I book rent on accrue basis I'm suppose to deduct TDS (credit or payment whichever is earlier) and deposit by 7th of next month.

Further as per my understanding my client should not deduct complete rental amount from my payment, deduction should be of complete rental amount less TDS.
So, I can book the rental entry with complete amount and deduct+deposit TDS.

Please provide your valuable inputs.

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
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09 February 2012 Your client need to deduct rent net of TDS only from your bills. you are correct. ask your client to return the TDS amount and pay the TDS to Govt. Otherwise your rent expenses will be disallowed

Rent need to book full amount (net amount +tds)

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