21 June 2010
Suppose i have booked the entire year rent in the month of March and tds deducted in the same month then wat action Assessing officer can take and is there any interest on delayed booking.Agreement is saying to book on monthly basis. Is there any impact on tds.
21 June 2010
ASSESSING OFFICER MAY REQUIRE THE RENT AGREEMENT. IF YOU ARE ABLE TO SHOW THE RENT AGREEMENT, WHERE IT IS CLEARLY MENTION THAT RENT SHOULD BE PAID ON YEARLY BASIS. OTHERWISE INTEREST PROVISION WILL ALSO APPLY.
21 June 2010
AGREED, AO CAN DEMAND RENT AGREEMENT. IN RENT AGREEMENT, THERE SHOULD BE MENTIONED THAT RENT WILL BE PAID ON YEARLY BASIC AT THE MONTH OF MARCH ITSELF.
21 June 2010
TDS is deductible either on credit/payment basis, whichever is earlier. If you have paid rent during the year, TDS should have been deducted on the date of payment and interest is attracted to this extent only.
With due respect to the other opinion, even if the rent accrues on monthly basis, there is nothing, which can compel/require the tenant to account for the same on monthly basis. In the absence of payment of rent, legally, there is nothing wrong in accounting for rent and TDS in March.
CAclubindia
