10 November 2009
rent payment by the client is +1,20,000 p.a but they have not deducted tax as in the agreement there are 3 parties to whom rent is payable.but cheque is issued to only one party (instead of 3).Actually property is in the name of 3 brothers but for convenience sake they want only 1 cheque.is it ok if TDS not deducted as individually rent is not exceeding 120000.
10 November 2009
If each have a definite and ascertainable share in the property, the limit of Rs.120000/- p.a will apply to each of the payees/ co-owners.
Ref:- Circular 715 reported in 215 ITR (St) 16 question no 21.
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