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Tds on rent for separate properties of same person

Vinayak Hegde (CA) (154 Points)

14 June 2014

Deductee is using two different premises of same person.

On property 1 he is paying rent Rs. 100000/- p.m on which he is deducting TDS.

On property 2 he is paying Rs 8000/- for which he is not deducting TDS.

Since the owner of the properties is same, is deductee required to deduct TDS on property 2?

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20 Replies

(Guest)

yes he will required to deduct TDS..............

2 Like

JAINENDRA JAIN (ACS/CA) (1668 Points)
Replied 14 June 2014

yes when the total rent to same person for land or plane and machinery or combined exceed the specified limit than need to deduct TDS.

Tribhuvan Aditya Singh (Student as well as Self-employed) (3710 Points)
Replied 14 June 2014

yes, the person is reqd. to deduct tax on both properties because sec. 194I means amt. paid to a person in respect of any property. thus where the owner is same with diff. properties and rent exceeds 180000p.a., tds is reqd. to be deducted.

Mihir (Wealth Manager) (5293 Points)
Replied 15 June 2014

No, when the property is different, the rent agreement, too, shall be separate even if the name is the same. So, TDS need not be deducted on property 2 since it is less than Rs. 15,000/- pm.

VIJAYA KUMAR (PROPRIETOR) (33 Points)
Replied 15 June 2014

I support mihir answer

N.VENKATARAMAN (FINANCIAL CONSULTANT) (56 Points)
Replied 15 June 2014

Mihir is wrong, rent is paid to same person and the total rent is more than exempted limit, so tds to be deducted on property 2 too.

Deepak Nagori (Partner at D R Sastry & Associates Chartered Accountants) (415 Points)
Replied 15 June 2014

Section 194 I does not talk about rent for single or multiple properties. Hence TDS will be required to be deducted if total rent paid to single person exceeds Rs 180,000 p.a.

Rahul Bansal (Partner) (21 Points)
Replied 15 June 2014

Agree with Mr. Deepak

anuj jaiswal (CA) (24 Points)
Replied 15 June 2014

Tds to be deducted on the whole amt paid as a rent to any person regardles of no. of property. For example If a professional has given accountancy & other services we never deduct tds under 194j based on service category but total amt paid to professional