28 April 2016
Yes, TDS to be Deducted u/s 194I 10% If the amount of rent paid/credited during the financial year does not exceed Rs. 1,80,000, then no TDS is required to be deducted. If the amount of rent paid/credited or likely to be paid during financial year exceeds Rs. 1,80,000 then TDS is to be deducted on whole amount.
28 April 2016
Example for TDS vs Service tax : Say Building Rent is ₹70000 per mth excluding service tax. If the owner charges service tax(Charges ST only when his total rental income of him from all tenants exceeds ₹10 lacs subject to other T&C) then amount payable to owner before TDS is ₹80150 (ST @14.5% included). TDS is ₹7000 (@10% on ₹70000) Net amount payable to owner is ₹73150