Rent is being paid for years @ Rs.9000 p.m. In Aug'09, the rent is revised to Rs.10400 p.m. with effect from Dec'07. Till 2008-09, as the rent paid was less than Rs.120000, no tax was deducted. Now, in 2009-10, tax is to be deducted for the rent of 2008-09. Regarding arrears, the amount of Rs.1400 p.m. is paid this year, so tax is to be deducted. But when the rent is Rs.10400 even in 2007-08, is tax to be deducted NOW for the payments already made in 2007-08.i.e. even for the Rs.9000 p.m. paid in 2007-08?
CAclubindia
