While taking a house or property on rent TDS (Tax Digas At Source) Cuts are necessary. If your monthly rent More than ₹ 50,000 If, the tenant has to cut the TDS and submit it to the government. TDS rate from 1 October 2024 Reduced from 5% to 2% Has been done, but many people accidentally deducted TDS at the old rate (5%).
In such, To get extra tds back You have to understand the process of Income Tax Department. Here we you Step by-step guide Giving, which can easily take refund.
What is TDS on rent?
TDS on Rent is a tax collection system, where the tenant cuts a certain percentage from rent money and deposits it to the government. it Income Tax Act, 1961 The section is applicable under 194IB. If Annual fare over ₹ 2.4 lakh If it is, it is necessary to cut TDS. From October 2024, the TDS rate is 2%, but 20% TDS deducts when there is no PAN.
Complete process to get overdated TDS back
TDS on rent observation
| Parameter | Description |
|---|---|
| Implemented section | 194IB (residential property), 194i (commercial property) |
| TDS Rate (from October 2024) | 2% (Monthly Fare> ₹ 50,000) |
| Rate when there is no pan | 20% |
| Last date for depositing TDS | 7th of next month |
| Portal for refund | Scar (tdscpc.gov.in) |
| Refund processing time | 3-6 months |
| Essential document | Challan Details, Bank Account, Digital Signature |
| More refund (> ₹ 50 lakh) case | Approved by ADC |
When is TDS overdiding?
- Do not understand the change in rate: The TDS rate is 2% from October 2024, but many people cut 5%.
- Not having pan: If the PAN of the landlord is not given, 20% TDS is cut, while only 2% should be cut if PAN is there.
- Wrong challan filling: Inserting the wrong section or amount while depositing TDS can lead to overd made.
8 steps to get overdated TDS back
- Log in on traces: [tdscpc.gov.in] Go on and enter your TAN and password.
- Choose “Request for Refund”: “Payment of details” This option will be found inside the tab.
- Complete the checklist: “move on” Submit the refund checklist by clicking on the button.
- Select section code:
- For section 195 “Refused request for Challan U/S 195” Choose
- In another case “In addition to second 195” Choose
- Fill the challan details: Make challan number, tax amount and selection of year.
- Enter bank account details: Put the IFSC code and account number correct.
- Apply digital signature: Verify through DSC or EVC.
- Submit Form 26B: Send the Acouling Officer to the Acunction within 14 days.
How to check refund status?
- Go to “Track Refund Request”: Look at the status by putting a refund ID in this option on Traces portal.
- Check on ITR portal: [incometax.gov.in] By logging in “View filed returns” See the status in.
If the landlord refused to adjust extra TDS?
- Apply for refund: Send a refund request directly to the traces portal.
- Submit indexation bonds: In some cases the tax department may ask for independence bonds and bank statements.
What if PAN is innovative?
- TDS Credit will not be available: Landlords do not get a credit for TDS, if Pan is innocent.
- 20% TDS will be deducted: If there is no PAN, the tenant will have to deduct 20% TDS.
Frequently asked questions (FAQs)
Q1. Is it necessary to file ITR for TDS refund?
Yes, refund can be claimed only by filing ITR.
Q2. How many days do refunds get?
Generally 3-6 months, but the document may be delayed if wrong.
Q3. Can refund be found without traces account?
No, it is necessary to send a refund request on traces.
Disclaimer: This article of TDS on Rent’s rules and refund process General information Gives This income tax department Official rules are not an optionRefund process 100% real and legal Is, but each case may be different. Take any step after consulting the tax advisor.
