TDS Deduction incase of cobuyer

I have purchased a flat of 86 lacs in my and mother name....I have made the complete payment through self funding and loan(on loan document mother has also signed as coborrower but I will be paying the all EMIs). My mother is a housewife.She does have any source of income.

I deducted and submitted 1% tds from my and mother PANs i.e. 43k from my pan and 43k from mother pan on the seller PAN ...is this fine ?

Replies (9)
Quick Summary
This discussion clarifies the rules for Tax Deducted at Source (TDS) when purchasing a property with a co-buyer. Even if one co-buyer, like a housewife with no income, is not contributing financially to the purchase, TDS must still be deducted from both individuals' PANs based on their ownership share in the property. The deduction is tied to ownership, not solely to who made the payment.

Yes, correct way.      

My mother is a house wife. She doesn't have any source of income.

No issue. The TDS needed to be deducted by both. Now EMIs you can pay.

Hi Dhirajlal ji,

I have purchased a flat of 86 lacs in my and mother name....complete payment was done by me by self funding and bank loan(on loan document mother has also signed as she is cobuyer in flat registry paper but I will be paying the all EMIs).

My mother is a housewife.She does not have any source of income.

I have deducted tds for seller as 1% tds on 43 lacs from my PAN and 1% tds on 43 lacs from mother PAN.

so, is this fine to deduct tds from mother PAN as her name is there in registry paper but she has not paid any money 

Yes, that is as per rule ..... Both the purchasers must deduct TDS as per their shares.

But mother has not paid anything to seller......all amount is paid by me.....even in this case tds deducted from both the PANs is fine ......right ?

TDS deduction is based on ownership in the property, It doesn't matter even if you have paid full amount.

Thanks a lot Dhirajlal ji...you have cleared all my doubt today....it's a big relief for me 😀...once again thank you.

Good Luck...          

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