TDS ON SALE OF PROPERTY 194IA

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This discussion addresses the calculation of Tax Deducted at Source (TDS) under Section 194IA for a property sale. The core question is whether TDS should be applied to the flat's base value (65 Lakhs) or the total sale consideration, which includes additional charges like club membership, parking, and power backup (totalling 70 Lakhs). The consensus suggests that TDS should be calculated on the higher total amount of 70 Lakhs, as the definition of 'sale consideration' typically encompasses these extra charges when they are part of the property transaction.

praveen Nautiyal

praveen Nautiyal (Querist)

12 August 2025 FLAT VALUE = 65L

POSSESSION CHARGES IS SEPARATE (CLUB CHARGES , PARKING & POWER BACK UP CHARGES) 5L

1)TDS DEDUCT @1% ON 65L = 65K OR
2) TDS DEDUCT ON 70L = 70k

Please suggest.

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

12 August 2025 TDS DEDUCT ON 70L = 70k
The definition of "sale consideration" includes extra charges like club membership, parking, utility, or advance maintenance if these are paid as part of the property transaction.

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

23 September 2025 Good luck....

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