Need help in demand received to pay additional 19% on the purchase property

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Dheeraj Gandhi (Querist)
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09 August 2024 Need help in demand received to pay additional 19% on the purchase property. Aadhaar pan of seller was not linked. But now linked. Seller is not cooperating to pay the notice. Also, not agreeing if I will pay the amount and he will give me back next year via itr regular filing. Can we connect. Need help in resolving this. Here is my number 9999773877. Please ping me or share your number.

Asha Kanta Sharma

Asha Kanta Sharma (Expert)
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12 August 2025 About your issue:
You received a demand to pay an additional 19% (likely TDS plus interest/penalty) on property purchase because the seller’s Aadhaar-PAN linkage was missing at the time of TDS deduction.
What happens in such cases:
When PAN-Aadhaar are not linked, TDS is deducted at a higher rate (20%+ surcharge/cess) on property transactions under Section 194-IA.
Now that the seller’s Aadhaar-PAN is linked, you can request the department to reprocess the TDS and refund the excess.
However, since seller is not cooperating, the burden of the demand falls on you as the buyer (deductor).
Your options:
Pay the demand:
Pay the demand to avoid penalties or further legal action.
Seller can claim this TDS while filing their ITR next year and get refund if excess tax paid.
Get a written or signed agreement from the seller promising to refund you later (to protect yourself).
Approach the tax department:
File a representation or appeal explaining the situation.
Request to process the refund once the seller files ITR with linked Aadhaar-PAN.
Legal help:
If seller is uncooperative, you can consult a tax lawyer or chartered accountant for further action.
They can help draft legal notices or negotiate.
Suggestion for you:
Since seller is uncooperative, pay the demand now to avoid penalty.
Keep all communication documented.
Follow up with seller for refund.
You can also write to the Income Tax department explaining the scenario.

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