Tds deduction while purchasing residential property
Swapnil
(Querist) 31 October 2013
This query is : Resolved
Hi,
I am purchasing a residential property of around INR 15 lakh ( agreeement value) + other charges approx 5 lakh (Brokerage, society charges, stamp duty, registration etc)
Am i required to deduct tds at time of making payment to seller .. If yes then how to deduct tds if part payment is made by Loan taken from Bank..
Thanks ..
Rajendra K Goyal
(Expert) 31 October 2013
Immovable property (any land or apartment or flat or building other than agricultural land) costing Rs. 50 lakhs or more is required to pay a withholding tax. The rate at which the tax is to be deducted is 1% of the amount paid. The new provision has been introduced by adding Section 194IA Income Tax.
This is applicable w.e.f. 01.06.2013.
