Tds on brokerage

This query is : Resolved 
Quick Summary
This discussion clarifies whether TDS (Tax Deducted at Source) needs to be deducted on brokerage payments. The general rule is that TDS is applicable if the payer is liable for a tax audit. In this specific case, the individual paying Rs 90,000 in brokerage is not liable for a tax audit, therefore, they do not need to deduct TDS and do not require a TAN number for this transaction.

Profile Image

Profile Image

(Querist)
17 February 2020 Dear Sir,

I have purchased a commercial house property in my individual name and putting the property on rent. I have appointed a broker to whom I have to pay brokerage of Rs 90,000/-. Do I need to deduct TDS on this amount as I don't have a TAN number in my personal name.

Regards,
Divyesh Jain
Profile Image

CA R SEETHARAMAN

Profile Image

CA R SEETHARAMAN (Expert)
18 February 2020 TDS applicable if you are liable for tax audit. You need to obtain TAN.
Profile Image

DIVYESH JAIN

Profile Image

DIVYESH JAIN (Querist)
18 February 2020 No.. I am not liable for tax audit. But brokerage amount to be paid will be 95000.
Profile Image

CA R SEETHARAMAN

Profile Image

CA R SEETHARAMAN (Expert)
18 February 2020 No need of TDS on this payment as tax audit not applicable to you.
Profile Image

dkshahca

Profile Image

dkshahca (Expert)
18 February 2020 No need to deduct tax
Profile Image

DIVYESH JAIN

Profile Image

DIVYESH JAIN (Querist)
18 February 2020 Thanks a lot for the reply
Profile Image

CA R SEETHARAMAN

Profile Image

CA R SEETHARAMAN (Expert)
18 February 2020 Welcome.............
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now



Similar Resolved Queries


loading


Unanswered Queries


Trending Online Classes

view all classess

CCI Pro
Meet our CAclubindia PRO Members
Pro Member CA jignesh daiyaCA jignesh daiyaPro Member tpksathyan narayanantpksathyan narayananPro Member Bharat UgileBharat UgilePro Member Joyashish MaitraJoyashish MaitraPro Member IMAMASAB SOGALADIMAMASAB SOGALAD
Subscribe to Pro
Join an elite circle of professionals



Answer Query



Quick Links



Browse by Category