TDS ON SALE OF JOINTLY HELD PROPERTY

This query is : Resolved

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Discussion is on TDS under Section 194-IA on sale of jointly owned property. Query is whether 50 lakh threshold applies per co-owner or on total sale value. Views differ, but clarification: TDS applies on total consideration of property, not individual share, with 1% TDS if overall exceeds limit.

afreen shaikh

afreen shaikh (Querist)
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04 April 2026 INCASE OF LTCG ARISES ON SALE OF IMMOVABLE PROPERTY. IF TOTAL SALE CONSIIDERATION EXCEEDS 50 LACS THAN 1% TDS IS APPLICABLE. BUT IN CASE OF PROEPERTY OWNED BY MORE THAN 1 PERSON i.e. CO OWNERS ARE THEIR THAN INDIVIDUAL SHARES IS LESS THAN 50 LAC THAN 1% TDS IS DEDUCTABLE??

Aashok Kumar Sharma

Aashok Kumar Sharma (Expert)
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04 April 2026 • Threshold of ₹50 lakh is per co-owner (seller-wise)
• ❌ No TDS if each share < ₹50 lakh
• ✔ TDS applicable if individual share ≥ ₹50 lakh
• ✔ Ensure separate 26QB filings

CA. Ankit Vijaywargiya

CA. Ankit Vijaywargiya (Expert)
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04 April 2026 Yes, Provision for TDS on immovable property by buyer will apply as overall value of property is more than Rs. 50 Lakhs.

This provision is as per Value of property not as per buyer's share.

For better understanding refer Section 194IA of Income Tax Act 1961 (Till 31/03/2026) OR Section 393 of Income Tax Act, 2025 (From 01/04/2026).

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