Praveen Rajak (student) (48 Points)
23 March 2023
CA Rakesh Ishi
(Working at Private Company)
(8202 Points)
Replied 24 March 2023
As per the Income Tax Act, the buyer is required to deduct TDS at the rate of 1% on the total sale consideration, including any advance payments made towards the purchase of the property.
Regarding the payment of TDS in installments, it is not allowed. The entire TDS amount must be deducted and paid at the time of making the payment to the seller or transferring the amount to the seller's account. However, if the buyer has obtained a loan from a bank for the purchase of the property, the TDS amount can be paid in installments as per the loan disbursement schedule.
Regarding the stamp duty value to be considered while filing Form 26QB, the TDS amount should be calculated on the total sale consideration mentioned in the agreement of sale.
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