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Tds on rental amount (nri)

TDS 505 views 3 replies

prasad

manager

171 Points Joined February 2011

Hi Experts,

Our client's private limited company wants to take an apartment for rent. This apartment was purchased by an Indian (but now she is an NRI), who is having PAN and purchased it through the India's bank loan. Now, our question is, whether our client need to deduct the TDS 10% (Indian) or 30.9% (NRI). The agreement will be signed by the landlord's mother (Indian) having General Power of Attorney.

Please reply us immediately. Thanks in advance.

Replies (3)

Raj Kumar

98 Points Joined June 2014

TDS shall be liable to deduct Reason for this - NRI is liable to pay tax on income which is generated in India, If the property is outside India then TDS will not be livable.

prasad

manager

171 Points Joined February 2011

Dear Mr. Raj Kumar,

Thanks for your response. The property is located in India. Please let us know whether TDS is 10% or 30.9%.

Raj Kumar

98 Points Joined June 2014

Mr Prasad, TDS rate shall be 30.90% In addition to this, Form 15CA/CB shall be required to be furnished online to the deptt. to give effects of the validity of this transaction.