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+--- Thread: Tax Deducted on rent Payment (/thread-tax-deducted-on-rent-payment)
Tax Deducted on rent Payment - Muhammad Rehman - 01-11-2010
Dear Sir/Madam,
i am working as accountant in private limited company.We are going to pay house rent of C.O.O of company Three month in advance i mean jan to march(per month Rs.100,000)Rs.300,000.
Please tell how much tax is deducted
yours Faithfully,
Muhammad Rehman
- Riftaj - 01-11-2010
hi dear
ager ap total amount 300000/= pay karo ga us per ap ko 15000/= i tax deduct karo ga ok, you always deduct 5 % on rent ok.
and tack ID card or NTN for I Tx Challan and you have to also submitted this i tax ok.
Rifi
<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica, san" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by Muhammad Rehman</i>
<br />Dear Sir/Madam,
i am working as accountant in private limited company.We are going to pay house rent of C.O.O of company Three month in advance i mean jan to march(per month Rs.100,000)Rs.300,000.
Please tell how much tax is deducted
yours Faithfully,
Muhammad Rehman
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">
- LapTop - 01-11-2010
Taxable rental Income for the year 2010 (Jan to June)= 6,00,000/=
Where the gross amount of rent exceeds Rs.400,000 but does not exceed Rs.1,000,000, Income Tax shall be charge at the rate of Rs.20,000 plus 7.5 percent of the gross amount of rent exceeding Rs.400,000.
20,000 + 15,000 =35,000
35,000 / 6 = 5833/= par month
- Muhammad Rehman - 01-12-2010
any way thank you both of you
- AbdulSamad - 01-16-2010
Muhammad Rehman i think there is little mistake taken by LAPTOP. Well i am paste here rent tax shedule, where company's rent tax deducting.
(b) The rate of tax to be deducted under section 155, in the case of company, shall
(1) Where the gross amount of rent does not exceed Rs.400,000.
5 per cent of the gross amount of rent.
(2) Where the gross amount of rent exceeds Rs.400,000 but does not exceed Rs.1,000,000.
Rs.20,500 plus 7.5 per cent of the gross amount of rent exceeding Rs.400,000.
(3) Where the gross amount of rent exceeds Rs.1,000,000.
Rs.65,000 plus 10 per cent of the gross amount of rent exceeding Rs.1,000,000
Mr. Muhammad Reham if your company year ending June Rule 2 applicable if Dec is ending year your applicable rule 3.
and tax calulation if Rule 2 applicable
100,000 * 6 = 600,000 - 400,000 (coz exceeding from 400,000)
= (200,000 * 7.5%)plus 20,500
= 15,000 + 20,500
= 35,500/6 = 5,916 per month from Jan to june
and tax calculation if rule 3 applicable
100,000 * 12 = 1,200,000 - 1,000,000 (coz exceeding from 1,000,000)
= (200,000 * 10%) plus 65,000
= 20,000 + 65,000
= 85,000/12 = 7,083 per month from Jan to Dec
Mr Muhammad Rehman please if your financial year ending is June you will apply rule no 2 tax calculation and in second year you will tax rule no 3 if shedule not change.
I hope i have tried to better satisfy you.
Thanks
- atifmspak - 01-17-2010
Salam
Dear can you simply explain the rate on rent in 2010 and kitni amount rent ke ho tu tax dena paray ga..? and tax denay ka time period kitna hay..?
Waiting for Reply
Atif
- LapTop - 01-18-2010
AbdulSamad Sahab,,,,,,,
Sirf itna bata dayn k rule 2 may jo aap nay 20,500/= ka amount liya hay ye kahan say liya hay aap nay,,,,,,
ITO phar kar mujhay batayea ga plzzzzzzzzzzzzz,,,
- Ikhan - 01-18-2010
AOA all,
M. Rehman kindly check the ITO2001 (page 284) & Calculate as per rule, here is its link.
http//www.fbr.gov.pk/newdt/ITordinance/ITOrdinance2009/ITaxOrdinance2001ut15-08-2009.pdf
-imran
- Sheraz Ahmad - 01-18-2010
<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica, san" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by LapTop</i>
<br />AbdulSamad Sahab,,,,,,,
Sirf itna bata dayn k rule 2 may jo aap nay 20,500/= ka amount liya hay ye kahan say liya hay aap nay,,,,,,
ITO phar kar mujhay batayea ga plzzzzzzzzzzzzz,,,
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote"><u><i><b><font color="red">I agree with you my dear Laptop!
Mr.AbdulSamad made a mistake here.
Thanks</font id="red"></b></i></u>
- faisal_desperado - 01-19-2010
Dears,
The mistake made by Abdulsamad was initially made in the ordinance, however the same has now been rectified.
Regards.
- AbdulSamad - 05-25-2010
Mr. Faisal_desperado
Thanks for rectifying me.
All readers please read
and tax calulation if Rule 2 applicable
100,000 * 6 = 600,000 - 400,000 (coz exceeding from 400,000)
= (200,000 * 7.5%)plus 20,000 (instead of 20,500 regarding earlier post)
= 15,000 + 20,500
= 35,500/6 = 5,916 per month from Jan to june
Please read
Regards
Abdul Samad
- LapTop - 05-25-2010
Abdulsabai,,,
App nay phir wo ghalti dohrai hay jo pahly ki thi,,,, 20500 nahi 20000 add hon gay or 6 mahiny ka tax 35500 nahi balky 35000 ho ga.
- LapTop - 05-25-2010
Property Income ki tax calculation k liye ik calculator banaya hay may nay umeed hay aap k liye helpfull ho ga,
Download-LinkTax Calculator for Property Income 2009-10.xls
http//www.megafileupload.com/en/file/234017/Tax-Calculator-for-Property-Income-2009-10-xls.html
- AbdulSamad - 05-25-2010
Mr. Laptop,
Thanks for giving, it will help for verifying our calculation with Excel forumlas, but every accounting must know how to calculate.
Regards
Abdul Samad
- LapTop - 05-25-2010
dulsamad bhai,,,,
Ik or batt aap ko batana zarori hay agar aap naraz na hon to,,, ye jo rule 3 bataya hay na aap nay ye sara sar ghalat hay..