My Friend is NRI and he have house property in Chennai and Decided to sell his property in coming months . Now, he has doubft about TDS deduction of 20% and cess. Is it applicable for TDS for sale of propery to resident & Is it applicable on sale Value or capital gain and also is any possible way to reduce the rate of TDS becasue of capital gain tax is less than the Amount of TDS Deduction.
Note : He is not file IT Return last Five years
Summary of the above transaction
1.Sale Consideration on june 2016 Rs.85 lakhs
2.Purchase value on july 2011 Rs.55 lakhs
3.Long term Capital gain tax (based on Index cost for the year 2015-16) 1.91 lakhs
4.TDS on Sale Value is Rs.17 lakhs
CAclubindia
