Section 194I of Income Tax Act

TDS 1353 views 3 replies

Hi.. Plz help..

U/s- 194I, TDS on Rent has to be deducted if such rent payable to a person exceeds Rs.1,20,000/- in PY.

What if the payment is made at Rs.70,000/- each to the 2 Co-owners of the one building?? Is TDS still to be deducted for both??

Replies (3)

Hi Nitin,

If there are 2 co-owners and you are paying them Rs 70, 000 per co-owner per annum, t/w rent, then you need not deduct tds as the provision cleary says is for "any person" in a year. In your case there are not one but two persons, so you need not worry. 

Case 2:- If you are paying one of the co-owner, say Mr. X more than Rs 120000 & coowner 2, say Mr Y less than Rs 120000, then you need to deduct tds only for X only.

If you paying both of them more than Rs 120000 per co-owner then you need to deduct tds for both.

Regards,

 

Sunitha

 

 

     

Dear Nitin,

TDS will not be deducted in this case..since the limit of Rs. 1.20 Lacs applies to each payee.

Thanks friends..


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