Tds on rental income received by nri

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

05 March 2018 Dear Fellow Colleagues,

I would request your help in the following :

My client has a property in India

The property is in the joint name

both the clients husband and wife are NRI with no other income from INDIA

Their property is rented out to an individual who will be paying a rent of INR 9000 per month i.e. total yearly INR 108,000 to this NRI.

Rent will be paid to NRO account by the tenant.

Please can someone confirm if the TDS ( @30.9%) needs to be deducted while paying monthly rent of INR 9000? OR No TDS required to be deducted?

Alternatively, the property is managed by their PoA Holder who is in blood relation to the family, can this income from rent be taxed in the tax return of the PoA Holder?

TiA
Mahi

The rent would be deposited into NRO account

KAVIRAJA ADDANGADI

KAVIRAJA ADDANGADI (Expert)
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05 March 2018 If rent is paid to an NRO A/c the tax would be withheld at source by the tenant at the rate of 30.9%.Jointly.Same can be claimed
By filling income tax return.

POA holder is act on original owner Income can not be taxed @ POA.