Answer

1. F

   Facts

   Individuals and HUFs not under audit who pay rent above ₹50,000 a month must deduct TDS under Sec 194IB (now Sec 393) and file Form 26QC (now Form 141). Not deducting makes you an assessee in default.

2. P

   Provisions and law

   • Sec 194IB, Income-tax Act 1961 (now Sec 393, Income-tax Act 2025)Individuals and HUFs paying rent above ₹50,000 a month deduct TDS
   • Sec 201, Income-tax Act 1961 (now Sec 398, Income-tax Act 2025)A deductor who fails to deduct or pay TDS is treated as an assessee in default
   • Sec 234E, Income-tax Act 1961 (now Sec 427, Income-tax Act 2025)Late fee of ₹200 a day for a late TDS or TCS statement, capped at the TDS or TCS amount
3. A

   Analysis

   For FY 2025-26, the rate was 2% (reduced from 5% from 1 October 2024; check the latest notification). Example: rent of ₹60,000 for 12 months is ₹7,20,000; TDS at 2% is ₹14,400. If not deducted, you pay it with interest under Sec 201(1A) (now Sec 398(3)) and late fee for Form 26QC. Deduct from the last rent payment of the year or at vacation, as the section allows.

4. C

   Conclusion

   1. 1Work out total rent and TDS for the year
   2. 2Deduct and deposit via Form 26QC (now Form 141) on the portal
   3. 3Pay interest and any late fee
   4. 4Download and give Form 16C (now Form 132) to the landlord
   5. 5Get the landlord's PAN to avoid higher TDS

General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.