is TDS deducted from Rent received

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

26 October 2010 is TDS required to be deducted from Rent received from the individual to whom the house is rented.
Awaiting reply ASAP

CMA. Subhash Kumar Jha

CMA. Subhash Kumar Jha (Expert)
Follow

26 October 2010 You are receiving the Rent, so you are not required to deduct TDS.

TDS on rent, is to be deducted, by the person who is making the payment of rent, subject of other conditions.

Querist : Anonymous

Querist : Anonymous (Querist)

26 October 2010 But what about the person who receives the rent or payment.

Upgrade to CAclubindia Pro. Subscribe Now!

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
Follow

26 October 2010 The person who receives the rent will receive the amount after deduction of TDS u/s 194 @ 10% on crossing the threshold limit.
Limit---
upto 30.06.2010 Rs 120000/- pa
w.e.f 01.07.2010 Rs 180000/- pa

haridhayalan

haridhayalan (Expert)
Follow

26 October 2010 you have to file the income tax if you are getting more income from the rental house.
thats all to you.

taxindiaconnect

taxindiaconnect (Expert)
Follow

26 October 2010 First of all the TDS is deducted by the payer of income. So your tenant has to deduct from payments being made to you. However if the rent is being paid to you by an individual, he is not liable to deduct it unless he is doing business which is subject to tax audit. Filing of income tax and paying balance tax is also is the receiver's obligation.