Typically, Form 16B is a TDS certificate that is issued by a purchaser, i.e. a deductor to a seller. It helps taxpayers to verify the total amount of tax deducted at source while purchasing a property. The said tax amount is deposited with the Income Tax by the deductor. In simple words, Form 16B is a certificate that details the total TDS deducted in case of a property sale.
Form 16B is one of the TDS certificates to be issued by the deductor under Income-tax Act, 1961 to the deductee in respect of TDS deposited to Government.
Form 16B: The TDS Certificate for Sale of Property
Form 16B certifies that the tax has been deducted at source on the income earned from the sale of immovable property (building or a part of it/land) other than agricultural land, and the TDS has been deposited by the property buyer with the Income Tax department.
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