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TDS on property in Dwarka for Resident Seller

As per Finance Act 2013,Section 194IA, Any person purchasing property more than Rs50 lac than person has to deduct 1% tds on property value, this section came in force w.e.f 1 july 2013. Tds on immovable property to be paid through form no 26QB and after that form 16B to be given to the seller(resident) as proof of TDS payment.

Tax Deducted at source means deduct tax from the buyer at the time of payment. Property generally stands for immovable property. TDS helps to reduce tax evasion in case of sale of immovable property. We are rbg consultants help you to do all process of TDS Return filing in Dwarka

TDS is Deposited within one month from the date of payment for purchase of immovable property worth Rs.50 lakhs or more. If it is not deposited within 30 days then there is a penalty charged.

No TDS amount will be deducted when the sales amount is below 50 lacs.

The Buyer can pay tax in form 26QB with link below

https://onlineservices.tin.egov-nsdl.com/etaxnew/tdsnontds.jsp

List of documents required for Form 26QB

  • PAN of the seller & buyer
  • Communication details of seller & buyer
  • Property details
  • Amount paid/credited & tax deposit details
  • Date of Agreement
  • 1% TDS on Amount
  • After that E tax payment, an acknowledgement number is generated

Penalty for not filing form 26QB: 1% per month for the period from the date on which TDS is deductible to the date on which TDS/TCS is actually deducted.

TDS on sale of the property to NRI

TDS is required to be deducted as per section 195 of income tax act 1961,If property purchase from NRI then separate rate are there

In short term gain, where property is sold within2 years from purchase then buyer is liable to pay as per slab rate. Tds on sale of property and surcharge will be added as long term

In long term gain, where property is sold after 2 year from the purchase then the buyer is liable to pay 20% Tds.

TDS amount will be deducted when the sales amount is below 50 lacs.

Particulars

(A)

Long-term capital gains tax

(B)

Surcharge on LTCG tax

(C =A + B)

Total tax (incl surcharge)

(D)

Health & education cess

(C+D)

Applicable TDS rate (incl surcharge + cess)

Sale price < Rs>

20%

Nil

20%

4% of total tax

20.8%

Sale price Rs. 50 lakh to Rs. 1 cr

20%

10% of LTCG tax

22%

4% of total tax

22.8%

Rs. 1 cr to Rs. 2 cr

20%

15% of LTCG tax

23%

4% of total tax

23.92%

Rs. 2 cr to Rs. 5 cr

20%

25% of LTCG tax

25%

4% of total tax

26%

Above Rs. 5 cr

20%

37% of LTCG tax

27.4%

4% of total tax

28.496%