(1) The security deposit to be paid by the tenant in advance shall be such as may be agreed upon between the landlord and the tenant in the tenancy agreement, which shall
(a) not exceed two months rent, in case of residential premises; and
(b) not exceed six months rent, in case of non-residential premises.
(2) The security deposit shall be refunded to the tenant on the date of taking over vacant possession of the premises from the tenant, after making due deduction of any liability of the tenant.