TDS credited to another person

My Client who is working in abroad  has buyed Flats in india. in the name of his wife name.  But wife has No source of income. He Rent the Flats get rental Income, The tenant  Deduct TDs from the Rent which is credit to Wife Pan No. 

Q1. Whether  I have show Rental income In his Return or Wife Return

Q2. If I shown Rental Income In his Return, I will Take TDS credit

Replies (9)

You have to show rental income in the wife's hands. Compute tax liability and adjust TDS.

I am unsure if clubbing provisions will be invocable so that rental income will be taxable under husband's hands.

How was the flat bought in wife's name ? Where the funds came from ?

Mr. Karthik,

Rental Income and TDS is shown in the books of your client wife because tenant has deduct the TDS in your client wife PAN u/s 194 I , you see the FORM 26AS in Incometax website, i.e TDS credited to in your client wife PAN.

Flat is in wife's name. Rental income is coming in wife's name. Return should also be filed in wife's name.

Source Is from Assessee's saving

Originally posted by : Mihir

Flat is in wife's name. Rental income is coming in wife's name. Return should also be filed in wife's name.

Dear Kartik,

As per my knowledge Clubbing Provision is applied in Your case, In breif Tenant deduct tds on your wifes name but you bought flat on your own money so whatever rental income will be taxable and clubbed in husband's hand.so you have to pay tax on rental income in respective A.Y. you can take tds credit by applying Clubbing Provision u/s 61 of Income Tax Act. 

Regards,

Ronak Darji

you have to file the return of wife as income of rent received and claim TDS

Hello

If the clubbing provision applies (wife's income to be clubbed with husband's income), how Husband can claim TDS deducted from wife and certificate issued in wife's name?

 

Please advise.

Regards,

Rental Income should be shown in his wife return and TDS. will be deducted by the tenant to his wife PAN only.

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