Tds on rent paid

Hello All,

I have a query related to TDS on rent paid.

There are two friends, running a tuition class under ONE premise. Premise is on rent and rent is Rs. 3,00,000 p.a. to be paid by both equally.

So my question is whether they required to deduct TDS while making rent payment ?????

As limit of TDS on rent paid is Rs. 180000 p.a., and both pay rent of Rs. 150000 individually, so TDS provision will not attract. Am I Correct on this ???

Request to resolve my query ASAP.

Thanks.

     

 

Replies (7)

if rent bill having single bill den tds liability applicable other wise if they have 2 sperate bills dont need to deduct.

If they pay individually then there is no need for deducting tax...you are correct Mr.imran

Is it possible to have only one rent agreeement mentioining two tenants and rent paid by both as Rs. 150000 ??

Kindly give some more clarification on this.

Thanks.

Hello All,

Waiting for valuable repsonse on this.

Imran.

Hi Imran,

Please make two seperate rent agreements. TDS on rent not applicable since the payments are under threshold. Please ensure seperate rent bills are raised in their names. 

 

I Agree with answer -
Please make two seperate rent agreements. TDS on rent not applicable since the payments are under threshold. Please ensure seperate rent bills are raised in their names.
But TDS proviosn is applicable, In case assessee lilable to Audit this is most Important point.
 
 


 

Dear Mr. Sachin,

Could you plz explain why TDS provision is applicable if assessee is liable for audit ??

Can't get your point.

Thanks.

 

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