WHO IS REQUIRED TO DEDUCT TDS?
Buyer is required to deduct TDS at the rate 1% if sale consideration is 50 lakhs or above but from 01/04/ 2022, TDS is required to be deducted if Stamp Duty Value (SDV) of property is also 50 lakhs or more. This means TDS is required to be deducted if stamp duty value of property or sale consideration exceeds 50,00,000. TDS is to be deducted on all properties whether residential, commercial, industrial property or flat, building or vacant plot except agricultural land.
HOW TO DEPOSIT TDS DEDUCTED?
Buyer is not required to take TAN number. Buyer can simply fill the form 26QB and deposit with government TDS deducted from seller. TDS deducted at time of making payment must be deposited within 30 days from the end of the month in which deduction is made. Buyer is required to furnish TDS certificate in form 16B to seller which is available around 10 to 15 days after depositing TDS.
WHEN TDS IS NOT REQUIRED TO BE DEDUCTED?
- a) If sale consideration / SDV of property is less than 50lakhs.
- b) If property into consideration is agriculture land.
- c) If seller is non-resident in that case section 195 applies.
We at Pradeep G Jadhav & Co have extensive experience in handling Property TDS Services and filing form 26QB in Pune. We also render services pertaining to obtaining Lower deduction Certificate for NRIs in Pune in cases where indian buyer is purchasing property from an NRI. Buyers of property please contact us for complying with the provision of payment of TDS on purchase of property in India.