30 June 2013
Hello experts, As per new rule of TDS for immovable property of 1% where sale consideration is above 50lacs, what does "Sale Consideration" value means? Is it a)Total Installments (Land + Construction + VAT + ST) b) Basic cost i.e. Sqft area X price per sqFt
In my case i purchased an under construction property from a Mr.X who was the first buyer from Builder wherein the value of property on sale agreement(between me and Mr.X) was above 50lacs. Please help me understand this.
30 June 2013
TDS is to be deducted on sales consideration. Sales consideration means the amount which the owner/Seller of the property is charging from the buyer. . Purchasing Under construction property requires a brief discussion. . The person who is making registration of the property against the consideration will be treated as the seller. So, if Mr.X is making a sale deed in your favour you have to deduct TDS on A/c of MR. X as he is the payee. .
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