Sale of Property By Resident Indians

An Indian resident wants to sell his property then he is required to follow these tax rules.

1.   In case, the sale value of the property is less than the specified amount then TDS is not required to be done.

2.   In case, the sale value of the property is more than the specified amount then the buyer is required to do 1% TDS u/s 194IA.

3.   PAN card is essential for both seller and buyer.

4.   TAN is not required to be attained by buyer and consequently there is no need to file eTDS returns.

5.   The buyer is required to issue a Form 16B to the seller.

6.  TDS can be adjusted for the seller against his capital gain tax. In case, if the seller makes reinvestment of the gain then he can claim for a refund from the TDS after filing his income tax return from the income tax department.

7.   At the time of executing the sale deed in front of the Sub Registrar a copy of the tax challan may require to be produced.

Tax Assist is a professional income tax consultancy in India for both corporate houses and individual tax payers; the latter comprising Salaried Individuals, Seafarers, Professionals and Non Resident Indians.

With the help of Tax Assist and its team of income tax professionals, taxpayers can minimize their Income Tax liability, maximize their net income and create opportunities to save for current and future needs while maintaining proper accounting standards and income tax returns which are compliant with the Law.