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TDS On Reimbursement of Electricity Bill

Total Replies. 21

Our Company has taken office on Rent, Beside Rent we are paying Electricity charges to landlord (i.e. Company) as per their own Invoice raised by them for Electricity used by us and also they charges Service Tax on that, so i think this is not actual reimb.of expenses (electricty). So TDS to be deducted on it or not. if deducted under which section and what percentage. Please respond.

by Azmathullah Khan on 30 May 2008

Mr. Suresh

Good question, even I am confuse, later I verified ur queries

If the landlord is issuing u the seperate bill then no need to deducted the TDS, but u have to demand the photocopy of the bills.

If he is adding the bill to the rent, then

u have to deducted the TDS on total amount.

The rate of tds for Rent is 15% plus Surcharge 10% if the amount is exceed the limit and Ed is 3% for Individual

The rate of tds for Rent is 20% plus Surcharge 10% if the amount is exceed the limit and Ed is 3% for Company

i think u must pay the bill seperately and ask him not to add in rent

I think my question is not cleared, I explained it further to seek answer - Landloard charge separately electrcity bill and not including in rent bill, and raise bill of electricity charges only but he charge per unit say Rs.8/- flat not as per govt.charge. Now in this case i think TDS applicable u/s 194J, since it is service rendered case. Please repond.Thanks.

Category: Bank

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