I am about to purchase a property and wanted some clarity. Property is being purchased along with my mother. All funding is coming from my Mother's account in leiu of another property that got sold in her name as we would want to save on tax on capital gain. Complete property amount, stamp duty is paid by her. On sale deed my mother and I would be buyers. My name is there more as a joint owner but I will not be paying anything from my account. Payment is being done in lumsum with no home loans from either side . Seller is single individual. My queries :
1) For 1% TDS, should my mother be paying complete amount via form 26qb since she is funding entire purchase?
2) Do I need to file form 26QB? What I understood from discussion is that TDS is payed based on proportionate ownership. Since I have not contributed anything, I don't have to file 25QB. Is that correct?
3) while filling form 26QB, with my mother's PAN, do I have to mention more than 1 buyer?
My lawyer and CA said that since my mother is funding the entire amount, she should only file 26qb for entire 1% amount and I need not file it. My name can however be in Sale deed even if I have not contributed anything. Even in 26qb form, I can mention as only single buyer as she is paying entire 1% and funding the entire purchase. Is this correct approach?
CAclubindia
