Tds on rent

This query is : Resolved

Suresh Yadav (Querist)
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01 August 2014 If House is Let-out for 22 months on a rent of 12,000/- per month & as per rent agreement full Rent is received in one payment by cheque of INR 2,64,000/-then,

can tenant Deduct TDS u/s 194I ???
as limit of 1,80,000/- is crossing.

because full Rent is received in FY 2014-15

but this full rent received also includes the rent of next FY 2015-16

and there is no other source of income for Landlord except this rent income.

please suggest Experts

thanks in advance to all. :)

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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01 August 2014 Yes TDS will be deducted since TDS to be deducted on the date of payment or credit whichever is earlier. You can claim the refund of TDS by filing your income tax return for the concerned financial year.

Ganeshbabu K

Ganeshbabu K (Expert)
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01 August 2014 Yes, TDS is applicable on advance rent paid also
,

if it is adjustable in future rent

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Suresh Yadav

Suresh Yadav (Querist)
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01 August 2014 How TDS can be avoided ?

as landlord do not have any other source of income except this Rent Income

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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01 August 2014 If your tenant is individual and in previous year he was not subject to tax audit then he/she is not required to deduct TDS.

Suresh Yadav

Suresh Yadav (Querist)
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01 August 2014 ok i got it

now which ITR should i file ?
and how much income i will show in that ?
whether full ammount received i.e. 264000/-
or only for rent of those month which will come in this financial Year ?

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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01 August 2014 You can file ITR1 provided your exempted income is not more than Rs 5000.

You need to consider rent for only those months of financial year for which return is being filed.

Suresh Yadav

Suresh Yadav (Querist)
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01 August 2014 Thank you sir

so can i claim my Full TDS Refund in this Financial Year or I should claim refund proportionately for current year and remaining in next Fin. Yr.

I think my Form 26AS will show full Amount Received & Full TDS Received in FY 2014-15 only

So should i Claim Full TDS Refund in FY 14-15 only ,

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CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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01 August 2014 If TDS is defucted then you will have to file ITR2. In ITR2 in TDS Schedule there is option to claim TDS for which income is offered for Tax in the current year and to carry forward the balance amount.

So you will only relevant income for tax and claim TDS on that and carry forward the balance TDS.

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Suresh Yadav

Suresh Yadav (Querist)
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02 August 2014 Thank You Sanjay Sir & Ganesh Sir

Now my doubts are clear