Tds deducted on excess rent by tenant

Tax queries 294 views 3 replies

Guest

The assessee is an individual owning a shop. He has let it out to an intermediary Pvt ltd company for bank ATM. As per rent agreement the amount is RS 10000/-p.m. and Rs 10000/- is paid to him by ECS.

However for AY 2016-17, the company filed TDS returns deducting TDS on 18000/-p.m. with TDS 1800/-p.m.(as shown in 26AS).

The assessee asked the tenant company to rectify the returns or atleast file the subsequent returns correctly. He has sent a letter through lawyer to the company.

Despite that, 26AS for AY 2017-18 shows the amount of rent in 26AS is 36000/- p.m with TDs of 3600/-p.m

If the assessee files the return considering the actual rent (10000*12), he might get a notice. If he shows the wrong rent in return, he might be considered party to whatever misdeeds the tenant company officials might be up to.

Kindly advise.

Replies (3)

Guest

SETTLE IN CASH IF POSSIBLE OR IN MUTUAL UNDERSTAINDING

REVISE TDS RETURN IF NECESSARY OTHER WISE NO NEED

Guest

The company is claiming more deduction for rent expenses without actually incurring them. They are taking no action despite letters sent to them and continue to file TDs returns with almost four times the rent. I want to know whether there is any provision for reporting this to AO.

Guest

tell ur client file rt and ask ao about rent