Search results
Jul 6, 2021 · 1) Who is responsible to deduct tax under section 194IB of Income Tax Act, 1961? Any person, being an individual or a Hindu undivided family (not covered under section 194I), responsible for paying to a resident any income by way of rent exceeding ₹ 50,000 for a month or part of a month during the previous year, shall deduct income-tax thereon at the rates in force. For the purposes of this section, “rent” means any payment, by whatever name called, under any lease, sub-lease, tenancy ...
Jul 23, 2024 · Under section194IB, individuals or HUFs are liable to deduct TDS on rent, in case the rent exceeds Rs.50,000. In this article, we look at Section 194IB & 194IC of Income Tax act in detail.
6 days ago · Budget 2024 Update The TDS on rent payments by certain individuals or HUFs under Section 194IB is proposed to be reduced from 5% to 2%, effective from October 1, 2024.
Jan 16, 2024 · Section 194I of the income tax covers TDS on rent. It imposes an obligation for TDS deduction on persons (other than individual/HUF who are not subject to audit) making rental payments to resident Indians above a specified limit, i.e., Rs.2,40,000 in a year.
Jan 9, 2020 · Extract of Some relevant Sections and Rules: Section 194IB as per Income tax Act, 1961 [Payment of rent by certain individuals or Hindu undivided family] 194-IB. (1) Any person, being an individual or a Hindu undivided family (other than those referred to in the second proviso to section 194-I), responsible for paying to a resident any income by way of rent exceeding fifty thousand rupees for a month or part of a month during the previous year, shall deduct an amount equal to five per cent ...
Jul 29, 2019 · In spite of already existing similar provisions under section 194-I of the Income Tax Act, 1961, with a view to widen the tax base, the new section 194-IB of the Income Tax Act, 1961 was introduced vide the Finance Act, 2017.The provisions of section 194-IB were made effective from 1 st June 2017.. Section 194-IB deals with the provisions relating to TDS deduction on Rent paid by individual / HUF, and the same is explained in brief in the current article.. Basic provisions of section 194-IB
Feb 22, 2021 · Frequently Asked Questions (FAQ) Q.1 What is TDS under section 194IB? Ans: Section 194IB of the Income Tax Act, 1961 requires the individual / HUF, who are not required to gets their account audited, to deduct TDS in case the rent amount exceeds INR 50,000 per month or part thereof.
Feb 27, 2023 · What is TDS on Rent u/s 194IB? As per section 194IB of the Income Tax Act, if the tenant of the property is an individual/ HUF (not liable to tax audit under the income tax act) has to deduct and deposit TDS if the amount of rent paid exceeds INR 50,000 for a month or part of the month.
Section 194IB of the Income tax act would deal with the tax deducted at source on payment of the rent. Section 194IB was initially introduced to bring the joint development agreement of real estate under the preview of TDS. An agreement between the owner of the asset and the developer is called the joint development agreement.
Oct 11, 2023 · In order to deduct TDS under section 194IB, the following rules apply: You must deposit the TDS amount within 30 days after deducting it. To deposit the deducted TDS, tenants should use a challan-cum-statement in Form No. 26QC.
