Tds on purchase of property

This query is : Resolved

Krishna Kant (Querist)
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02 July 2013 Dear Sir,
I am 65 yrs old retired Chief Engineer from UP Power Corporation Ltd Lucknow. My daughter wkg in US purchased a flat in Crossing Republik City Ghaziabad The basic sale price of flat is 48,07,992& service tax on it is 1,48,567 bringing the cost to Rs 49,56,559.The registry of the flat was done on 27th June 2013 for Rs 48,07,992/ only.My daughter paid Rs 5.0 lac on01/02/13 as booking amt followed by Rs 3.0lac & Rs 1.0 lac on 07/05/13& on 22/05/13 respectively.Bank paid Rs42,06,073/as the balance amt at the time of registry beside also bank paid the stamp charges.
Now should I attract TDS on this property.builder says that the total price of your flat is Rs51,48,559/ inclusive of Rs1.5 lac as parking charge,& Rs42000/as interest free maintenance security deposit.
My point is that since the registered value of flat is only rs48,07,992/ the TDS is not payable.Pl clarify,
Warm Regard
krishna kant

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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02 July 2013 Total consideration being paid for the transfer of immovable property by the buyer to the seller has to be taken into consideration. 42 +9=51 lac
.
It exceeds Rs 50 lac.
.

You have to deduct the amount from the payment being made to the builder.
.
If builder agrees for such deduction what else is needed ?
.

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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02 July 2013 TDS on purchase of flat is going to another contoversy. Pl see an article in
http://taxguru.in/income-tax/section-194-ia-writeup.html

Courtesy to :- Mr. V. Swaminathan.

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