property rent

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

20 March 2010 My client paid rent of property to co-owner in the FY 2008-09. At what rate tax should have been deducted.

Rate for payment to individual was 15% and for other rate was 20%.Pls suggest.

Can we treat co-owner in the category of individual?

Pls advice

Simply_Shailesh

Simply_Shailesh (Expert)
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20 March 2010 As per new amendment effective from 01.10.2009 of TDS, you should deduct TDS at 10% on rent payment.

CA Gangadhar Mishra

CA Gangadhar Mishra (Expert)
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20 March 2010 agreed

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Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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20 March 2010 If there are number of payees,each of them having definite and ascertainable share in the property, the limit of 1.20 lakhs will apply to each of the payee/co-owner separately.
Reference:- CBDT Circular 715 dated 08/08/1995.

Querist : Anonymous

Querist : Anonymous (Querist)

20 March 2010 Please tell in the provision applicable in 2008-09 and with reference to co-owner.