TDS on purchase of immovable property

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34 Points Joined September 2019
Hello, I have purchased an apartment recently and am needed to deduct TDS for the purchase. I have the following queries regarding the form 26QB 1. I have paid earnest money by two cheques disbursed from my account on 16 Aug and 22 Aug. I have not deducted TDS then. Can i deduct TDS on the entire agreement value now in one go or do i need to deduct TDS separately for each of the cheques? 2. As the remaining amount will be disbursed by Bank through Home Loan, I am required to deduct the TDS. The actual amount disbursed by bank will be lower than the remaining amount (agreement value - earnest money), as i will also deduct TDS. So in Form 26QB, which value should I put, Agreement- Earnest money or Agreement-Earnest Money -TDS? 3. As my wife is co applicant in home loan, how do I factor her in in the TDS payment. Regards

Read more at: https://www.caclubindia.com/experts/tds-during-purchse-of-immovable-property-2762119.asp
Hello, I have purchased an apartment recently and am needed to deduct TDS for the purchase. I have the following queries regarding the form 26QB 1. I have paid earnest money by two cheques disbursed from my account on 16 Aug and 22 Aug. I have not deducted TDS then. Can i deduct TDS on the entire agreement value now in one go or do i need to deduct TDS separately for each of the cheques? 2. As the remaining amount will be disbursed by Bank through Home Loan, I am required to deduct the TDS. The actual amount disbursed by bank will be lower than the remaining amount (agreement value - earnest money), as i will also deduct TDS. So in Form 26QB, which value should I put, Agreement- Earnest money or Agreement-Earnest Money -TDS? 3. As my wife is co applicant in home loan, how do I factor her in in the TDS payment. Regards

Read more at: https://www.caclubindia.com/experts/tds-during-purchse-of-immovable-property-2762119.asp
Hello, I have purchased an apartment recently and am needed to deduct TDS for the purchase. I have the following queries regarding the form 26QB 1. I have paid earnest money by two cheques disbursed from my account on 16 Aug and 22 Aug. I have not deducted TDS then. Can i deduct TDS on the entire agreement value now in one go or do i need to deduct TDS separately for each of the cheques? 2. As the remaining amount will be disbursed by Bank through Home Loan, I am required to deduct the TDS. The actual amount disbursed by bank will be lower than the remaining amount (agreement value - earnest money), as i will also deduct TDS. So in Form 26QB, which value should I put, Agreement- Earnest money or Agreement-Earnest Money -TDS? 3. As my wife is co applicant in home loan, how do I factor her in in the TDS payment. Regards

Read more at: https://www.caclubindia.com/experts/tds-during-purchse-of-immovable-property-2762119.asp
Hello, I have purchased an apartment recently and am needed to deduct TDS for the purchase. I have the following queries regarding the form 26QB 1. I have paid earnest money by two cheques disbursed from my account on 16 Aug and 22 Aug. I have not deducted TDS then. Can i deduct TDS on the entire agreement value now in one go or do i need to deduct TDS separately for each of the cheques? 2. As the remaining amount will be disbursed by Bank through Home Loan, I am required to deduct the TDS. The actual amount disbursed by bank will be lower than the remaining amount (agreement value - earnest money), as i will also deduct TDS. So in Form 26QB, which value should I put, Agreement- Earnest money or Agreement-Earnest Money -TDS? 3. As my wife is co applicant in home loan, how do I factor her in in the TDS payment. Regards

Read more at: https://www.caclubindia.com/experts/tds-during-purchse-of-immovable-property-2762119.asp

Hello,

I have purchased an apartment recently and am needed to deduct TDS for the purchase. I have the following queries regarding the form 26QB

1. I have paid earnest money by two cheques disbursed from my account on 16 Aug and 22 Aug. I have not deducted TDS then. Can i deduct TDS on the entire agreement value now in one go or do i need to deduct TDS separately for each of the cheques?

2. As the remaining amount will be disbursed by Bank through Home Loan, I am required to deduct the TDS. The actual amount disbursed by bank will be lower than the remaining amount (agreement value - earnest money), as i will also deduct TDS. So in Form 26QB, which value should I put, Agreement- Earnest money or Agreement-Earnest Money -TDS?

3. As my wife is co applicant in home loan, how do I factor her in in the TDS payment.

Regards

Hello, I have purchased an apartment recently and am needed to deduct TDS for the purchase. I have the following queries regarding the form 26QB 1. I have paid earnest money by two cheques disbursed from my account on 16 Aug and 22 Aug. I have not deducted TDS then. Can i deduct TDS on the entire agreement value now in one go or do i need to deduct TDS separately for each of the cheques? 2. As the remaining amount will be disbursed by Bank through Home Loan, I am required to deduct the TDS. The actual amount disbursed by bank will be lower than the remaining amount (agreement value - earnest money), as i will also deduct TDS. So in Form 26QB, which value should I put, Agreement- Earnest money or Agreement-Earnest Money -TDS? 3. As my wife is co applicant in home loan, how do I factor her in in the TDS payment.

Read more at: https://www.caclubindia.com/experts/tds-during-purchse-of-immovable-property-2762119.asp
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On 15 September 2019 at 12:44 Report
Replies (6)
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17264 Points Joined December 2018
1. Actually you need to deduct TDS as and when payment is made. And you have to pay TDS by 26QB within 30 days from date of deduction.

2. Now you deduct @ 1% on full agreement amount and add other charges towards amenities etc. and in 26QB write total payments made to seller .

As your wife is also co-applicant that means Co-owner.

You and your wife both have to deduct TDS and Form 26QB as per percentage ownership. And pay/26QB within 30 days.
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On 15 September 2019 at 13:22
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56 Points Joined January 2018
Sorry pravin kapadia sir some correction in this message. You can pay the TDS amount 7th of the next month from the date of deduction.
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On 15 September 2019 at 17:13
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17264 Points Joined December 2018
Property TDS Payment due date extended to 30 days from end of the in which deducted

CBDT has Vide notification no. 30/2016 dated 29-04-2016 extended Due date for payment of TDS on transfer of immovable property u/s 194IA to 30 days from end of the month to existing 7 days for all payments to be made on or after 01st June 2016.

Thanks for your post. i missed to write "end of the month " in my above post.
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On 15 September 2019 at 17:52
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Engineer
34 Points Joined September 2019

Thank you for your replies. In our agreement percentage ownership between me and my wife is not defined.

1.  As the initial downpayments are from my account, is it ok if TDS is only paid by me for the downpayments.

2.  For the homeloan part, how do I split the TDS  between me and my wife. As bank will disburse in one single installment, can I show the payment in 26QB in two installments, one for TDS by me and one for TDS by my wife.

3. As bank will only disburse the amount payable to the seller, and TDS is to be paid by me, in the Form 26QB under the installment amount, what should I write actual amount paid by bank or actual amount paid by bank + TDS Deducted by me?

Regards

 

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On 15 September 2019 at 18:15
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17264 Points Joined December 2018
1. ok
2. Request bank to give two cheques as per ratio desired by you.
Pay TDS alongwith 26QB seperately for your wife under her PAN and for you under your PAN

3. Actual by bank + TDS deducted
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On 16 September 2019 at 12:59
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Engineer
34 Points Joined September 2019
Thanks. I will proceed accordingly.
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On 16 September 2019 at 13:17


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