10 September 2013
I am purchasing an under construction flat (1500 SQ Feet) at Bangalore and its value is 51 lakhs (including car parking, amenities, electricity, water etc). This price excludes VAT, Service tax and Registration. Including all total cost come to Rs 60 lakhs. As per Karnataka Govt valuation, registration value comes to Rs 46.5 lakhs approx. If this is the case, do I need to deduct 1 % TDS from the builder? If yes, on which value (60 lakhs or 51 lakhs)?
I am going for 47 lakhs loan with bank. When I enquire with Bank (LIC housing finance and HDFC), they said only If the loan amount is 50 lakhs and above, buyer need to deduct 1 % TDS. Kindly clarify.
11 September 2013
TDS Applicable only on Paid/Payable Amount is exceeds or equal to 50 Lakh. Dont take in mind that the valuation as per govt or other else. If you payable 50 lakh or more then you must to deduct 1% TDS from payable amount.
11 September 2013
I am not still clear with you answer. What do you mean by paid or payable amount ? Total cost of property including VAT,service tax and Registartion is Rs 60 lakhs and my contribution is 13 lakhs. Remaining 47 lakhs I will be availing housing loan. If this is the case, do I still need to deduct 1 % TDS ?
CAclubindia
