Tds on property

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CLIENT HAS PURCHASED PROPERTY OF RS 80LAC AND MAKING PAYMENT IN INSTALLMENT OF RS20LAC ..... IS IT POSSIBLE TO DEDUCT TDS ON ENTIRE 80 LAC NOW?
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As per Section 194IA, TDS is to be deducted at the time of payment. The date of transfer is not relevant as TDS is not required to be deducted at the time of transfer but is required to be deducted at the time of payment. Therefore, irrespective of the date of transfer, the TDS is required to be deducted at the time of payment. So even if advance payment is being made, TDS would be required to be deducted. Moreover, in case the payment is being made in Installments to the Seller, the TDS would be deducted at the time of paying each installment.

 

It is possible to deduct TDS on entire amount. It is upto you.

TDS must be deducted on installment made for purchase of property when total consideration of the property is more than Rs. 50 lakhs.

You can now deduct TDS on Rs. 80 Lakh however interest must be paid for late deduction from the date of payment of installmet @ 1% p.m.

80 lac payment is not yet made .... it will be made in installment 

The payment is being made in Installments to the Seller, the TDS would be deducted at the time of paying each installment.

Than you have to deduct 1% TDS on installment amount. The amount so deducted must be deposited by 7th of next month.

Payment made on or after 1st June 2016 must be deposited by 30th of next month


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