TDS Return on Rent u/s 194IB(26QC)

Form 26QC is the challan-cum-statement for reporting the transactions liable to TDS on rent under section 194-IB

(U/s 194-IBindividuals/HUFs not liable to audit u/s 44AB paying rent of ₹50,000 or above resident landlord will have to deduct TDS at the rate of 5%)

No, not required to procure TAN. This form can be filed with PAN only.

The due date of payment of TDS on rent is thirty days from the end of the month in which the deduction is made.

Example: If a taxpayer has made payment of rent in the month of November, then corresponding TDS should be deposited on or before thirty days i.e. 30th December.

Form 26QC should be filed:

• At the end of the FY or in the month when the premise is vacated / termination of agreement. However, taxpayer has to mandatorily file the Form at the end of each Financial Year (in case the agreement period contains more than one FY and rent has been paid/credited during the year)
• In the month when the premise is vacated/ termination of agreement ( in case the agreement period falls in the same FY)

Usually form 16C is available for download within 4-5 working days from the date of payment of TDS.

Interest on late deduction of TDS – 1% every month or part of month

Interest rate if TDS deducted but delay in deposit – 1.5% every month or part of month

A fee of ₹200 per days is levied on late filing of TDS (Maximum upto amount of TDS).

If delay in filing return is more than a year from the due date of filing return than penalty can be levied upto ₹1,00,000/-

Correction on account of incorrect information provided by the assessee during the original return filing shall not form part of the plan.