Shamita (Learner) (410 Points)
03 August 2009Our Co. has hired factory pemises from 1st July 2009 at a monthly rent of Rs. 50000 and refundable security of Rs. 100000. In July full payment of Rs. 150000 was made by two cheques of Rs. 50000 and Rs. 100000 each. But we failed to deduct TDS on both the amounts. What's the remedy now and does TDS have to be deposited both on monthly rent and refundable security.
Pls guide me.
RITESH KOTHARI
(B.COM, FCA, DISA(ICAI))
(778 Points)
Replied 03 August 2009
TDS HAS TO BE DEDUCTED ON THE AMOUNT OF RENT ONLY.NOW THE REMEDY IS THAT U HAVE TO DEDUCT REGULAR TDS ON NEXT PAYMENT OF RENT ALONG WITH THE PREVIOUS ONE LEFT. MEANS U WILL DEDUCT DOUBE TDS THIS TIME AND DEPOSIT IT ACCORDINGLY.
Ghuru.R
(Article Assistant)
(77 Points)
Replied 03 August 2009
Aditya Maheshwari
(CA in Practice)
(35867 Points)
Replied 03 August 2009
No TDS on deposit if deposit refundable. Deduct for the previous months in the next payment.
Sorabh Gupta
(Manager ( Taxation ))
(877 Points)
Replied 03 August 2009
Shamita
First of all TDS shuld be deducted only on rent amount not on refundable security. And if you fails to deduct the TDS on first rent then you can deduct the TDS on the payment of second month.
Hope there is no doubt.
Shamita
(Learner)
(410 Points)
Replied 03 August 2009
We have deposited Rs. 7725 (TDS on monthly rent Rs. 50000) from our side. Now can we make less payment to owner i.e Rs. 34550 (50000 - 15450) this time, deducting TDS of both July and Aug. months from the rent of August.
Sorabh Gupta
(Manager ( Taxation ))
(877 Points)
Replied 03 August 2009
Shamita
Thats correct ............nothng issue now...............
PIYUSH JINDAL
(study)
(84 Points)
Replied 03 August 2009
i agree with the above replies but there should be something else and that is the interest for one month @ 12% P.A.
Suresh M
(Financial Analyst)
(124 Points)
Replied 06 August 2009
I believe the Interest rate will be applicable for 2 months with rate of 2% per month, because you have missed to make payment in first month and releasing the payout at second month due. The deduction from lease rent would only two month TDS but not interest portion.
Vikash
(Artical)
(39 Points)
Replied 14 August 2010
TDS Deducted in august including the previous month rent paid on which tds you have not deducted from the amount of rent paid.
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)
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