Taxation of capital gain in case of nri

Did he sell the property?

Either your client is NRI or Resident, Your client has to pay capital gain as per the provisions of income tax.

Thanks & Regards

Piyush Tanwar

CA FInalist & Internal Auditor

Mobile - 9717468521

Long term capital gain tax will be 22.66% if NRI is selling a property in India after holding it for more than 3 years. In case holding period is less than 3 years then Short Term Capital Gain Tax will be applicable as per income tax slab. In case of short term capital gain, TDS applicable will be 33.99% irrespective of tax slab of the NRI.

In case of sale of property by NRI, it is mandatory for buyer to deduct 20.66% TDS on the sale price of the property if capital gain is long term capital gain. In case of short term capital gain, TDS will be 33.99% irrespective of income tax slab of NRI.TDS is applicable even if value of property is less than 50 lakhs.

https://www.nitinbhatia.in/real-estate/nri-tds-sale-property/. Go through this link

Thanksss Sandeep yadav

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Please specify the relevant section and notifications

NRI need not do anything.

Buyer should deduct TDS u/s 195.

If the seller is a foreign country of residence and has DTAA with Indian government i.e. lower rate of TDS is allowed. NRI need to submit a tax residency certification from the country of his residence.

LTCG sec 115E