Total sale consideration is 97 lakh. Advance pymt of 20 lakh made for which tds not deducted and paid .Amount credited to seller on March. Now what should i do?
You need to deduct TDS @ 0.75% on the total sale consideration.
Further, I understand that the payment was made in the month of March but TDS was not deducted and deposited. Accordingly, interest will be levied to compensate the same.
As per sec 194IA if sale price of the property is more than 50 lakh then tds is required to deduct @ 0.75%. TDS is paid on payment basis not on total sale consideration. You pay advance 20 lakh on march then tds should be deducted on 20 lakh Rs.
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