Tds on rent and amenities

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This query is : Resolved

Amit Agarwal (Querist)

12 January 2012 Dear Experts,

In a lease agreement of 11 months total amount is 25000 broked out as

Room Rent 10,000
Furniture & Other amenities 15,000

The lessee is a company and is not deducting any TDS concluding Room Rent to be below Rs. 180,000 yearly. Is this correct? Whether TDS should be deducted on whole Rs. 25,000?

Guest

Guest (Expert)

12 January 2012 No in this case , tds is not deductible being rent amount less than 180000/-

Amit Agarwal

Amit Agarwal (Querist)

13 January 2012 Mam, please clarify whether there will be no TDS on amenities and Furniture?

Amit Agarwal

Amit Agarwal (Querist)

13 January 2012 Mam, please clarify whether there will be no TDS on amenities and Furniture?

Guest

Guest (Expert)

13 January 2012 TDS deducted on Rent P & M , Equipment,
furniture & fittings @ 2% if payment exceeds Rs. 1.80 Lacs.

Amit Agarwal

Amit Agarwal (Querist)

15 January 2012 But here the room rent & Furniture Rent is paid to the same person, is this doesn,t matter that the rent is paid to same single person.

Ravikant

Ravikant (Expert)

15 January 2012 TDS has to be deducted from Total Amount of Rs 25000, as Section 194I specifically mentions RENT PAID FOR LAND, BUILDING, FURNITURE,ETC WHETHER PAID SEPERATELY OR TOGETHER.

Message likes : 1 times

Amit Agarwal

Amit Agarwal (Querist)

16 January 2012 Thanks you sir. But if i can get more experts view i will be confident.

Guest

Guest (Expert)

16 January 2012 Thanks for correcting me Ravikant Ji.

TDS is also deductible on security deposit given by tenant which is adjustible against future rent. but if security deposit is refundable then TDS is not deducted.

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