Section 194IA TDS on Sale of Property

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TDS ON PROPERTY Section no Description Cut off Normal Rate of TDS Reduced Rate From 14 May 2020 to 31 Mar 2021) 194 IA Purchase of Immovable property 4999999 1% 0.75% As per Section 194IA If Property Purchased of 50 lacs or more, TDS Deducted @ 1% on Payment to Seller Rate Reduced to 0.75% from 14 May 2020 to 31 Mar 2021 Examples: Value of Property TDS Applicable/No TDS 4000000 4999999 5000000 NO TDS NO TDS TDS Applicable On whole Amount 5000000 Exception: This section is not applicable in case of Non Resident Seller This section is not applicable on Agricultural Land teachoo.com Example A B PROPERTY 100 Lacs CHEQUE 99 lacs TDS Deposit 1 lacs Who is Deductor B Who is Deductee A Who will Deposit TDS B Who will Give TDS Certificate to Whom B to A Does B Require to Apply Tan Number? No Suppose A sold property to B of 100 Lacs on 5 April B will Deduct 1% TDS B will Pay A 99 lacs teachoo.com Example What is TDS Challan and Return Form to be filled by B? Form 26QB (Common Challan cum Return) What is Due Date of Filling Form (30 days from the end of the month in which TDS was deducted) What is TDS Certificate form to be Given Form 16B What is Due Date of Giving TDS Certificate Within 15 days from Return Filing Due Date Suppose A sold property to B of 100 Lacs on 5 April B will Deduct 1% TDS B will Pay A 99 lacs Example Suppose Property Sold on 5 April DATE OF SALE DATE OF RETURN DATE OF CERTIFICATE FORM 26QB FORM 16B 05 Apr 30 May (30 Days from End of Month) 14 Jun (15 Days from Return Due Date) PROPERTY 100 Lacs CHEQUE 99 lacs TDS Deposit 1 lacs