Flat sold in lower than government cicle rate

 I have a new query i have sold a flat purchased in 1988 for rs 53 lac, but the registrar value of the flat came to 72 lac,

buyer has deducted tds on property on rs 72 lac.

How to save myself from Income tax notice as to why did i sell below market rate? (72 lac government rate but sold in 53 lac)

can i take a take a valuation report from a income tax authorised valuer showing value of the flat was around 17 lac in 2001 and taking into consideration the index value of 2022-23 as 3.3, current value is 56 lac approx?

 

Replies (4)
Quick Summary
A homeowner sold a flat for £53 lakh, which was below the registrar's value of £72 lakh. The buyer deducted TDS on the higher amount, leading to concerns about an income tax notice for selling below market value. The seller is exploring options like a valuation report to justify the sale price and minimise capital gains tax, but advice suggests filing based on the circle rate to prevent future issues.

Better to pay capital gains tax as per sale value of 72 lakhs. No other alternative.

File return based on circle rate to avoid any future litigations.

Sir that means the valuation report of a government authorised valuer is of no value?

The valuation report as on the date of sale, if it is as per your agreement rate can help you in appeal, but not while assessment.

Flat was sold on 21 sep 2022 for 53 lac, valuation report is of Rs 57 lac dated 29 september 2022.

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