TDS ON IMMOVABLE PROPERTY - FLAT

201 views 4 replies
In present senario where buyer pay the amount in installment toward purchase of flat , shall the TDS @ 1% to be paid at the time of booking or pay as per installment
Replies (4)
At every installment
TDS should be paid as per installment
Tax is required to be deducted at the time of credit of such sum to the account of the payee or at the time of payment whichever is earlier. The date of registration, agreement or contract is irrelevant for deciding the time of payment of TDS.

If the purchase value is greater than Rs. 50 lakhs then TDS is to be deducted from the first instalment itself and for each and every instalment. The purchaser should not wait for the aggregate instalment amounts to exceed Rs. 50 lakh. The view that TDS is to be deducted from final instalment or after exceeding Rs. 50 lakh is not right.

Can we deduct and pay full amount of TDS at first instance .( E.g Residential property value 70 lacs to be paid in 10 installment , can WE PAY 1% OF 70 L at 1st Installment or should be at every Installment ?


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register