Know More on TDS on Rent Under Section 194-I of Income tax Act, 1961
In this Article I want to submit some more on TDS on Rent under Section 194-I of Income Tax Act,1961,which help you to clarify everything on TDS on Rent.First you should know that who is liable to deduct TDS on Rent?
Any person, other than an individual or a HUF, is responsible for paying to resident in India, any income by way of the rent, amounting in aggregate to more than Rs. 180000 in a financial year. However w.e.f. 01/06/2002, individuals and HUF who were covered under section 44AB (a) and (b) in the preceding previous year, are also required to deduct tax at source.
What is the point of deduction of TDS u/s 194I?
Tax should be deducted either at the time of actual payment of rent or at the time of its credit to the account of the payee whichever is earlier.
What is the meaning of Rent?
Clause (c.)of Explanation to section 194I specifies the meaning of “RentAds by Eonads