What is form 26QC?

From 1^st June, 2017 individuals & HUF’s who are not under Tax Audit (under section 44AB) and does not have a Tax Account No. (TAN) while paying the rent of Rs. 50,000 or more needs to deduct TDS from the rent as per section 194IB. Form 26QC is the newly introduced online Challan – cum – Statement of TDS under this Section. Once payment is made using Form 26QC, the TDS Certificate (Form 16C) can be downloaded for issuance by Tenant to the Landlord.

Periodicity to file Form 26QC

Form 26QC is the online Challan – cum – Statement of TDS under Section 194IB pertaining to Rent payment of Rs. 50,000 or more by Individuals / HUF not having TAN. This needs to be filed at the end of the financial year. However, if the tenancy has come to an in between the financial year, then this needs to be filed based on the month in which the tenancy has come to an end. Form 26QC is to be filed within 30 days from the date of tax deduction.

Example:

Tenancy Period: 1^st May 2017 to 30^th June 2018

FY:17-18, Tenancy Period 1^st May 2017 to 31^st March 2018, Tax Deduction within 31^st March 2018, Form 26QC to be filed within 30^th April 2018

FY:18-19, Tenancy Period 1^st April 2018 to 30^th June 2018, Tax Deduction within 30^th June 2018, Form 26QC to be filed within 30^th July 2018

Format of Form No. 26QC

What is form 16C?

Section 194IB – TDS on Rent (for Individuals & HUF)