Section 194IB of Income Tax Act 1961

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  1. Sivapriya

    Sivapriya New Member

    Sec 194-IB TDS on personal [email protected] 5% ie) any person liable to pay rent more than 50000 per month is required to deduct 5% annually in the last month or last manith in the rent agreement
  2. prolinc

    prolinc New Member

    there is 30% Standard Deduction for Rent for which TDS has been deducted under Section 194IB


    Section 194 Ib

    Introduced in Finance Act,2017

    Applicable - Individuals & HUF who are not liable to tax audit
    Threshold limit - 50,000 p.m or part of month during the previous year
    Rate of TDS - 5%
    When to deduct - tds to be deducted on payment on last rent during the previous year or the month after which the place will be vacated which ever is earlier
    Requirement of TAN - NOT required
    due date of payment - such amount is to be paid within 30 days from the wnd of the month in which the amount was deducted & it should be paid in form 26qc
    Certificate - Furnish Form 16C to landlord within 15 days after due date of payment
    Non availablility of PAN - as per 206AA, however it should not exceed rent payable for the last month.

    I hope your query related to 194IB is solved

    Yash Jain
  4. Section 194IB of Income Tax Act says that the TDS is to be deducted @ 5% in case the rent paid is more than Rs. 50,000 per month.

    This is applicable to those who are not required to get their accounts audited.

    For more, kindly refer:
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