TDS by buyer on purchase of property

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14 Points Posted on 18 July 2021
buyer forgot to deduct tax at the time of payment.now buyer wants seller to give cheque of amount of tds so that he can deposit it . is seller advisable to give cheque?
or any other solution?
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On 18 July 2021 at 14:50 Report
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Quick Summary
This discussion addresses a common issue where a buyer forgets to deduct Tax Deducted at Source (TDS) when purchasing property. It explores whether the seller should provide a cheque for the TDS amount or if alternative solutions exist. The advice leans towards the buyer depositing the TDS themselves via Netbanking to meet the 30-day deadline and avoid penalties, especially if registration is pending. If the full payment has already been made without TDS deduction, the buyer should either pay it themselves or reimburse the seller for the TDS payment.

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Manager-Audit
80 Points Posted on 18 July 2021
Go for Netbanking, because, incase of paid throw cheque - it's took upto 4 to 7 days. at the same time TDS On property should be pay, within 30 days from the date of registration/paid. after that interest applicable.
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On 18 July 2021 at 15:00
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14 Points Posted on 18 July 2021
Registration of property is yet pending.
buyer made partial payment
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On 18 July 2021 at 15:04
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Manager-Audit
80 Points Posted on 18 July 2021
Ok. deduct on final payment or at the time of full payment received.
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On 18 July 2021 at 15:14
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STUDENT
1631 Points Posted on 18 July 2021
Ji -Sale value exceeds Rs.50 Lakhs, Then Only Sec.194IA -Applicable.

If advance payment is made -TDS is also applicable, If you forget the same, Adjust with the next payment.

And before registration, you must make the Tax payment to NSDL through Form 26QB.
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On 18 July 2021 at 16:03
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Chartered Accountant
86505 Points Posted on 18 July 2021
As you will get credit of such tax, you have to pay it. Either deposit TDS challan by yourself or Pay the buyer amount of TDS.
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On 18 July 2021 at 17:02
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2478 Points Posted on 19 July 2021
Buyer has to deduct tds. he cannot give chq to seller.
buyer has to complet tds within stipulated time as per terms of agreement and payment
in case tds is not deducted by buyer then seller will not get benifit of tds & buyer will have to pay penalty.
if buyer has paid full amount to you without deducting tds then , then it is better to pay it yourself or pay buyer for 26qb deduction.
if sale consideration less than 50,00,000/- then tds not applicable
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On 19 July 2021 at 11:59

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