I need clarification about TDS rule section 194-IA . If someone buying a joint property( 2 owners - 50 % share each) say for Rs. 52 lacs , then does it attract TDS ? In this case , property is jointly owned and each owner's share is Rs. 26 lacs( less than threshold limit of 50 lacs). As per following order , it seems it does not attract TDS but I am not sure if such verdicts are applicable for everyone or just one person who filed this appeal. https://www.taxwink.com/blog/vinod-soni-vs-ito-tds-itat-delhi .
some details are as below about the order:
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Case Descripttion: Vinod Soni Vs. ITO (TDS)
Court: ITAT Delhi
Appeal No. : ITA No. 2736/Del/2015
Date of Order: 10th December, 2018
In favour of: Assessee
Order pronounced by the court: - Section 194-IA will not be attracted in case of joint buyers of an immovable property where the share of each joint buyer is less than Rs. 50 Lakhs. For the purpose of applicability of TDS u/s 194-IA, each buyer is to be treated as a separate entity and therefore, the law is to be applied individually to each buyer.
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Any clarification in this regard will be much appreciated.
Regards
CAclubindia
