Hi, Please provide us with inputs. This is in relation to determing the actual deductee in respect of sale transaction carried out through POA in respect of immovable properties.
Scenario.
The vendor is a partnership firm say "X"represented by the partner. It appoints "Y(Third party)" as a registered lawful attorney to transact. Now Y is intended sell the property to Z for consideration.
Suppose the price agreed between Y & Z is 100 lacs and tds to be deducted. The deductor would be naturally Z and the queries are
1) in this case who would be the deductee. Will it be The firm "X"(Ultimate owner / vendor) OR its poa "Y" the executant of this transaction.
2) In whose books the sale to be recognised and profit to be booked is it in the name of "X (Firm)" or "Y (Agent)"
regards
sathya
CAclubindia
