According to the Income Tax Act, tenants must deduct TDS at 31.2% on rent paid to an NRI, and deposit the tax with the government
I am a non-resident Indian (NRI), and am earning ₹2.5 lakh every year as rental income from my property in India. I had requested my tenant to deduct and deposit tax deducted at source (TDS) on the rent. But this did not happen due to the complexities of understanding the nature of depositing TDS. I declare my rental and all other sources of income in India in ITR-2 returns, and am paying taxes honestly. Is this arrangement fine, or should I myself cut the 30% TDS every month on behalf of my tenant, and claim it while filing tax returns?