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What is the slab for house rent to deduct tds

sunil marata (Bank employee) (25 Points)

21 October 2015

Sir/Madam. . I want to know what is the Slab for deducting TDS on house rents paid by banks to it's employees as leased accommodation. .

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5 Replies

Karthik.V.Kulkarni (Chartered Accountant) (594 Points)
Replied 21 October 2015

Tds should be deducted if rent to a single person exceeds rs 180000. But if it is in form of allowance to employees or peruisites to employees it shld be included in salary of employees and deducted u/s 192 if salary of employee exceeds slab rate.

CA Kumar Mukesh (CA CMA FINAL and Advance Excel Trainer) (6876 Points)
Replied 21 October 2015

Bank need to deduct TDS under section 194-I, if rent paid during the year is exceeds or expected to exceedss Rs 1,80,000/- per owner/co-owner, if any.

Thanks you ...

(Guest)

hi Sunil

I think there shouldnt be any TDS deducted as u already include the HRA in the salary (and u deduct TDS from salary)

the Employee while paying the "Owner of the house" will deduct TDS

(Guest)

exactly.. so in short, the Bank while paying HRA should not deduct TDS (as it is aldy getting deducted from salary as HRA)

my question is "Should the employee deduct TDS while paying the owner of the house ?"

Danish (GST Practitioner) (219 Points)
Replied 21 October 2015

Tds Should be Deducted 194I If The person Who is Paying Rent Is Assessable For Tax (ie Companies & Firms) & If It Exceeds Or Expected To Cross 180,000/- per anum

If The Company Directly Paying Rent To Its Staff Qtrs Company Can Deduct TDS On The Rent

It Should Not Be Deducted From Salary...