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Rent in case of joint owners

Tax queries 1165 views 6 replies

vipul

ca ipcc

76 Points Posted on 22 December 2014

X and Y Owns property jointly and have rental income (let out residential property to company)

Should they recive two cheques in their names

or they recive single cheque in name of any of them

Comment on above and also comment on how TDS is deducted

And advice whether rent cheque to be taken in name of single owner or both owners

Replies (6)

CA DEEPAK ARORA

EMPLOYEE

49 Points Posted on 23 December 2014

Dear Mr.Vipul ,

yes, they should receive rent Cheques in two names separately.

TDS will be deducted by tenant(Lessee) if Rent Amount Exceeds Rs.180000/-For The Entire Financial Year U/s 194I.

Mohan Kumar

Others

49 Points Posted on 28 December 2014

sir,

does this mean that tenant need to cut TDS on the rent he pays if total rent in a FY is more than rs 184000?

Mohan

vipul

ca ipcc

76 Points Posted on 28 December 2014

Mohan Rs 180000 limit is seperate for co owners I.e if x and y owns HP equally then their limit will be Rs 360000. Further rs 360000 TDs will be deducted

CA DEEPAK ARORA

EMPLOYEE

49 Points Posted on 02 January 2015

Mr.Vipul is right....Each Coowner will be treated as a separtate owner and Limit of Rs.180000/- will be considered separately .

Arif Ali

Apt Co Advisory

1230 Points Posted on 02 January 2015

Agree with Deepak and it will advisable that takes the separte cheque in both name in proportion of their share in said house.

Hi , I am taking a property on rent . Property belongs to joint owners , husband and wife. Owners are asking for 2 different cheques i.e 50% amount in each account. I hope i will be able to get the benefit of 100% amount in tax . which PAN will i show ? should i show both the PANs ?