Income tax

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

24 April 2016 I have purchased an under construction property(value Rs. 53 lakhs(Excl taxes)) in Jan'16 @Rs 49 lakhs. The property has since been transferred in my name in Feb'16 by the builder. TDS @1% has been made by the seller on payment since Jun 13. I have paid about Rs 5 lakhs thereafter before taking the possession in Mar'16. The property dealer is of the view that I need not pay any TDS, as it is transfer by builder. But I am a bit confused. For my understanding, do I need to pay TDS@1% on the amount paid to the seller?

Abhishek Ranjan Singh

Abhishek Ranjan Singh (Expert)
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24 April 2016 Yes you have to deduct the TDS from all the payment after 1st June 2013 if property value is equal or more than 50 Lakhs. It is applicable for all the Buyer / Seller. Only it is not applicable for NRI seller.