LIVE GST Certification Course by CA Arun Chhajer begins 21st April. Register Now!!

Tds on property - form 26qb

11 May 2014

Hello everyone,

I have some doubts regarding form 26QB.

1. In case 1st installment is made on 28/04/2014 for property purchased, and form 26qb is yet to be filed, whether interst will be attracted now for late payment?

2. Whether TDS will also be deducted on Service Tax portion?

3. Is it mandatory to Deposit online TDS?

Please reply asap.

Thanks in advance.

Reply
Follow
Share

4 Replies

Deepak Gupta (CA Student) (15922 Points)
Replied 12 May 2014

Originally posted by : CA PuRvI M!$rA
	Hello everyone, I have some doubts regarding form 26QB. 1. In case 1st installment is made on 28/04/2014 for property purchased, and form 26qb is yet to be filed, whether interst will be attracted now for late payment? 2. Whether TDS will also be deducted on Service Tax portion? 3. Is it mandatory to Deposit online TDS? Please reply asap. Thanks in advance.

1) Yes, interest shall be paid in accordance with section 201.
.
2) No need to deduct TDS from service tax component if it's charged separately.
.
As per Circular No. 01/2014, dated 13.01.2014, CBDT has clarified that wherever in terms of the agreement/contract between the payer and the payee, the service tax component comprised in the amount payable to a resident is indicated separately, tax shall be deducted at source under Chapter XVII-B of the Act on the amount paid/payable without including such service tax component.
.
(As the circular says TDS under Chapter XVII-B, so it applies to all the TDS sections.)
.
3) Yes, it is mandatory.
.
As per sub-rule 6A of rule 30 of the Income-tax Rules, 1962,
.
“Where tax deducted is to be deposited accompanied by a challan-cum-statement in Form No. 26QB, the amount of tax so deducted shall be deposited to the credit of the Central Government by remitting it electronically within the time specified in sub-rule (2A) into the Reserve Bank of India or the State Bank of India or any authorised bank.”

1 Like

Income Tax Wala: (Fin. Expert) (Chartered Accountants) (2010 Points)
Replied 12 May 2014

Agreed with Deepak

CA PuRvI M!$rA (-) (2260 Points)
Replied 12 May 2014

Thanx deepak.

KIRAN (Engineer) (25 Points)
Replied 28 October 2014

Dear All,

I need your help and clarifications on the following

I AM A BUYER OF IMMOVABLE PROPERTY. AS PER LAW, I HAVE DEDUCTED 1% TDS ON THE INSTALLMENT AMOUNT PAID TO BUILDER AND PAID THE SAME TO GOVT ONLINE ON TIN-NSDL SITE. HOWEVER AT THE TIME OF PAYING, I HAVE MENTIONED ASSESSMENT YEAR AS 2014-15, WHEREAS IT SHOULD HAVE BEEN 2015-16. CONSEQUENTLY I AM UNABLE TO RETRIEVE FORM-16B.

KINDLY LET ME KNOW IF THERE IS A WAY TO CORRECT THIS ERROR.