Tds on rent

if municipal taxes are born by tenant no tax will be deducted on such amount , circular.718 dated august 22,1995

I have a query about the

TDS Payment Process

Service tax payment Process with Percentage

My rent is exactly Rs. 15000/p.month. I am excluded for tds right

I am paying Rs. 15k/mnth. Please tell me that tds not to be paid right

TDS DEDUCTED EXCEPT SERVICE TAX . RATE TDS IS 10% (194I)

DEAR RAMYA

IN RENT ON IMMOVABLE PROPERITY TDS EXEMPTION UP TO RS. 1,80,000 

SO TDS NOT REQURE TO DEDUCT 

15000 X 12 = 1,80,000 

TDS has to deducted only on basic rent.

Originally posted by : CA srinivas sandeep p
	If water charges & property tax are part of rent then rent per month is Rs 21,386(20088+1198+100). Then TDS will be 2203 (21,386*10.3%)   If water & property tax doesn't form part , rent will be Rs 20088 and TDS will be Rs 2069 (20,088*10.3%)

TDS has to deducted flat 10% u/s 194I and not 10.30% i.e. no edu. cess and SHEC to be deducted on TDS

Agreed with Mr. Lohith

TDS is to be deducted only if amount of rent exceed Rs. 1,80,000/-

TDS will be deducted on the sum of :

Basic rent: 20088

+ Property tax: 1198

+ Water charges: 100

= Rs. 21386 per month

because any sum received except Service tax shall be included in rent received.

TDS @ 10% ie. Rs.2139 per month.

Y that provision is applicable in case of Rent only that Tds should be deducted only on that amount which is income and not inclusive of ser tax whereas in other cases where ser tax is charged we deduct tds on whole amount like tds on contractor where bill is inclusive of service tax as ser tax is not an income.

Dear Monis Merchant

to understand this you should give a read to the provisions of 194I & 194C. you will see that in case of rent it is clearly stated that TDS is to be deducted on "ANY INCOME PAID" while in section 194C it is clearly said that TDS is to be deducted on "ANY SUM PAID", that is why TDS is to deducted on amount inclusive of service tax in case of contracts and exclusive of service tax in case of rent. This thing is to be taken into consideration while reading TDS provisions of all sections