Tds on sale of property

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

19 June 2014 Dear Sir,

Mr A (buyer) pays amount of in excess of Rs 50 Lacs including taxes to Mr B(Builder)in the financial year 2011-12, however the said property is not registerd Till Date

Now Mr A does not want the property and agreed to receive the amount already paid in the Financial Year 2010-2011

Mr C, (Atual Buyer) wants to Purchase the above mentioned property in the Current FY 2014-2015 and he will making the payment to Mr A(first Buyer)

but the actual property is still in the name of Mr.B(Builder)

1) In whose Favour TDS needs to be deducted
a) MR.A (Firt Buyer) Possessor
b) Mr.B (Builder) actual owner

Since a Tripartie agreement is entered into between the 3 parties .

Kindly do the needful

Best Regards
Prasad DVS

CA. Nage Gowda

CA. Nage Gowda (Expert)
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19 June 2014 It would be advisable that Mr. C directly pay the sale consideration to MR. B and then MR. B pays to Mr. A for cancellation of earlier agreement.

Now MR. C can deduct TDS in the name of MR. B.