Tds on rent to service apartments
This query is : Resolved
11 May 2012
Our Status is Partnershipfirm. We are doing Service Apparment Business. We are collecting Rent, food and other charges from different guests from one comapany. We are collecting service tax and luxury tax on the rent. Guest are not statying regularly.But the total business of the year from the same comapany is Rs.4,00,000/-. But the comapny deducted TDS @10% U/s 194-I. is it correct?... or is it u/s 194c @ 1% since we are giving service to the guest according to the contact with comany
11 May 2012
In my opinion the type of agreement comes under the nature of contract.
Since the billing is not fixed per month (unlike rent), and is dependant on the guests accomodation days and actual food/service consumption, this takes the shape of a contract, to which section 194C applies.
However, if there is any fixed component (fixed rental @Rs25,000pm, irrespective of actual accomodation) then it should attract 194I.
Since the billing is not fixed per month (unlike rent), and is dependant on the guests accomodation days and actual food/service consumption, this takes the shape of a contract, to which section 194C applies.
However, if there is any fixed component (fixed rental @Rs25,000pm, irrespective of actual accomodation) then it should attract 194I.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Taxable or Tax exempt
- CAPITAL GAIN BASE ON NOTIFICATION
- TDS Deducted AY-2013-14 Not Reflected in 26as
- ADVANCE PAYMENT OF ADVOCATE
- Demand Outstanding AY 2013-14 TDS Deducted not shown in 26as
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Eway bill not cancelled within 24 hous what can be due
- UNWANTED CREDIT BALANCE OF GST AS PER BOOKS
- DIN reactivation
- TDS Return Q1 FY 2026-27
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- STATUTORY AUDIT OF A SMALL PRIVATE COMPANY INCORPORATED ON 28.03.2025
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
