Hi,
We are paying building maitenence monthly @ Rs. 3147/- per flat to the landlord. Total we are paying Rs. 12588/- for 4 flats to single landlord.
Could you please confirm me that is Tds applicable under 94C as the landlord is same for flats? or need not to deduct tds as it does not come under thresholdhold limit for each flat?
Rajasekhar
The wordings given in section 194C(3) is not clear whether the applicability as to multiple contract with same person.It is advisable to deduct tax at source.
Since the amount is only around 150000 per year, and tds of 3000 per year, i would suggest you to convince your landlord and deduct tax @ 1% or 2% as the case may be.
Dear Rajasekha
You Are Liable To Deduct TDS....Multiple Contracts or Different Flats Doesnot Have Effect On TDS Provisions.
You Will Deduct TDS As Aggregate Amount Credited HAve Exceeded The Limit Of 75000/-
Regards CA Kumar Ajay
cakumarajay @ hotmail.com
After deducting TDS, one will have to file TDS returns. Do these tenants have TAN number? Besides, it appears that this expenses is for personal use/purpose and so TDS won't apply.
Wait for more replies.
P.S.
I Am Assuming That You Are Talking On Behalf of Some Business Entity And Not Personal Flats.
CAclubindia
