TDS on Refundable security deposit of Rent

This query is : Resolved 

21 October 2010 Hello,

Is TDS is applicable in Security Deposit of Rent.

21 October 2010 Income tax need not be deducted at source on refundable rent deposit. Pl refer CBDT Circular 718 dated 22-8-1995. (question no.2)

21 October 2010 if adjusted with rent than deduct tds and if refundable no need to deduct tds


21 October 2010 Agreed with both the experts



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