RECEIVED INTIMATION U/S 399 FOR TDS PAYMENT ON PROPERTY PURCHASE

In short, paying the original demand is the quickest resolution, but you must upload the payment challan along with a brief written statement requesting the withdrawal of your correction request so the AO can formally close the open verification file.

Just to add AO has asked details about past paid challans, bank statements showing past payments to builder, etc.

Practical sequencing point: paying the original demand and the correction request are two independent tracks on the system, and paying the demand doesn't automatically pull back or close the correction you already filed. If the correction is still pending processing, the AO's document request may well be tied to processing that correction, not to the original demand itself - so paying now doesn't necessarily stop the document ask.

If you're genuinely fine letting the correction lapse/get rejected since the demand amount is small, it's worth actively withdrawing or not pursuing the correction (rather than leaving it pending) and then paying the original demand with a clear paper trail - challan plus a short written response to the AO referencing the payment and stating the correction is being withdrawn. That combination is what typically closes the loop cleanly.

If you pay but leave the correction sitting in the system unresolved, don't be surprised if the verification document request continues on its own track regardless of the payment - the AO's ask and the demand payment aren't the same proceeding, so silence isn't a safe way to make the document request go away.