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+--- Thread: Tax on Rent (/showthread.php?tid=19844)
Tax on Rent - AbdulSamad - 03-11-2016
While Data inserting in IRIS for the month of February 2016. I found tax rates on Rent on Property Section 155, automatically calculated 15% of any value. Whereas we are Pvt Ltd firm and we are deducting tax on individual Landlord.
I already check tax rates on FBR portal WHT Rates Card. Its already said for individual and AOP Exempted Tax 150,000 and exceeeding 150,000 to 1000,000 tax deduction with 10% and above from 1 million tax deduct 15% with plus 85000/-
and for deduction COmpany's Rent it would be 15%.
Then why IRIS deducting 15% on Rent amount whereas payments belong to individual not a company.
Please confirm me, am i right side or not ? Is that Iris mistakes ?
RE: Tax on Rent - Jay - 03-11-2016
Dear first you need to select correct payment section 155 instead 153(1)(b). IRIS is calculating 15% tax on service as all of them are non-filers and individuals.