TDS on Rent (Annual Maintainance Charges)

This query is : Resolved

Alpesh (Querist)
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11 August 2008 we have one party, we have paid to party Rs.40,000/- per month Rent & we have deducted the T.D.S. on rent. But party has chared Rs.15,000/- for annaul maintainance charges.

Can we deducte the TDS? yes, then at what rate we have deducted the TDS

CA Nallathambi Srinivasan

CA Nallathambi Srinivasan (Expert)
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11 August 2008 If the party charges the maintenance separatly as a bill then the TDS rate applicable is TDS on contract rate.

Or if the party charges the same along with the rent, then it should be deducted as TDS on Rent.

CA vikash Jain

CA vikash Jain (Expert)
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12 August 2008 the rate will be normal rate as applicable tin case of rent i.e 15%. section 194i will hit if rent includes other agreement or arrangemnt for use of land or property

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CA Abhishek Tyagi

CA Abhishek Tyagi (Expert)
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12 August 2008 If the same is provided in the lease deed itself then it will be treated for tds purpose othewise the same will not come under the purview of TDS provisions.