Namaskaram,
A clarification is requested on the following ;
1. In plot selling, sale deed would be registered for Guideline value as prescribed by TN Govt.
2. Sale agreement would be entered for the entire amount. Not proposed to be regsisterd.
3. Seller will voluntarily disclose the entire sale consideration amount as mentioned in the Sale agreement to Income-Tax department. Then, he / she will either pay necessary tax on long term capital gain or invest the capital gains in another property as stipulated in the prevailing Income-Tax Act.
4. Can TDS 1% calculated based on Sale agreement value be deducted and remitted by buyer as per the provisions of Income-Tax Act ?
5. If any buyer looking for loan, Sale Deed will have higher sale amount over and above the Guideline value depending on loan requirement.
Is this method fine ? Thanks 🙏🙏
CAclubindia
