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Query

srikumar (audit staff) (1203 Points)

28 March 2014

dear sir,

whether tds on rent will attract residental house ? if attract tds who will deduct tds & who receive form 16A ?

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10 Replies

Dipjyoti Majumdar (CA in service & CS. dipmaj@ rediffmail.com ) (3468 Points)
Replied 28 March 2014

If the payer of rent being an individual is subjected to tax audit then he/she has to deduct at source on payment of rent to landlord.

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Income Tax Wala: (Fin. Expert) (Chartered Accountants) (2015 Points)
Replied 28 March 2014

Mr. Srikumar

first of all it does't matter whether property is residential or commercial.

if any individual (who is subject to tax audit) pays rent more than 180000/- in a year than he is liable to rent after deduction of 10% TDS.

and owner of property will be the recepient of form 16A from tenent

CA Deepesh Ruhela (Keen to Learn) (3271 Points)
Replied 28 March 2014

Any person who is responisble for paying the rent, liable to deduct TDS other than individual or HUF (if not liable to tax audit in the preceding Financial year).

Yes, TDS on rent will attract on residental house. Form 16A recd. by the payeei.e owner of the property from deductor (payer).

CA SUKSHAM ARORA (CA) (569 Points)
Replied 28 March 2014

I AGREE WITH THE ABOVE DISCUSSION

CA Saroj Kumar (Keen to learn something new every moments) (2588 Points)
Replied 28 March 2014

normaly individual residing on rent does not fall within the ambit of scope of the provision ...however the above said provision required to be checked once....

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Punita (Asst Manager Finance) (59 Points)
Replied 29 March 2014

Can anyone confirm that MArch 2014 TDS Deposit last date is 30th April or there is any change. As I have heard letter is isued by fiance act for change in date.

Punita

PACHIPALA NAGAPRASAD (Student CA IPC / IPCC) (25 Points)
Replied 29 March 2014

Dear sir,

Who is liable to Wealth tax?

income tax people are liable?

CA Deepesh Ruhela (Keen to Learn) (3271 Points)
Replied 29 March 2014

Individual (trust is assessable as as an individual & hence liable to pay wealth tax), HUF, company are liable to pay wealth tax, if net wealth exceed Rs. 30 lacs in Previous year. Following are not covered under Wealth Tax Act; 1: company registered u/s 25 of companies Act, 1956. 2: co-operative society. 3. Social club. 4. Political party. 5. Mutual fund u/s 10(23D) of Income Tax Act. 6. RBI

CA Deepesh Ruhela (Keen to Learn) (3271 Points)
Replied 29 March 2014

Yes, a person who pay income tax are also liable to pay wealth tax if his wealth exceed the limit. Since, Income Tax Act is different from Wealth Tax Act, if a person not chargeable to tax but his wealth exceed Rs 30 lacs than he is liable to pay wealth tax.

Rangarajan (Chemical ) (21 Points)
Replied 29 March 2014

I have commercial property and let out for a company and they pay cheque 24000 pm.for rent.But he say he will deduct the tax and give rent.at present i am not working , vrs person.and also not filed it due to limit of income less than 5lacs.I may correct in not filing returns,also give advice for first query.