{"id":24610,"date":"2023-05-30T23:14:54","date_gmt":"2023-05-30T17:44:54","guid":{"rendered":"https:\/\/carajput.com\/blog\/?p=24610"},"modified":"2025-02-26T00:34:20","modified_gmt":"2025-02-25T19:04:20","slug":"overview-on-tds-on-sale-of-immovable-property","status":"publish","type":"post","link":"https:\/\/carajput.com\/blog\/overview-on-tds-on-sale-of-immovable-property\/","title":{"rendered":"Overview on TDS on Sale of Immovable Property"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_58 counter-hierarchy ez-toc-counter ez-toc-light-blue ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Page Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-69d0dc1164a14\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #000000;color:#000000\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #000000;color:#000000\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-69d0dc1164a14\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/carajput.com\/blog\/overview-on-tds-on-sale-of-immovable-property\/#Tax_deduction_at_source_on_Sale_of_Immovable_Property\" title=\"Tax deduction at source on Sale of Immovable Property\">Tax deduction at source on Sale of Immovable Property<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/carajput.com\/blog\/overview-on-tds-on-sale-of-immovable-property\/#TDS_on_Sale_of_Property_by_NRI\" title=\"TDS on Sale of Property by NRI\">TDS on Sale of Property by NRI<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/carajput.com\/blog\/overview-on-tds-on-sale-of-immovable-property\/#Non-Filing_Of_Form_26QB-_Penalties_Applicable\" title=\"Non-Filing Of Form 26QB- Penalties Applicable\">Non-Filing Of Form 26QB- Penalties Applicable<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/carajput.com\/blog\/overview-on-tds-on-sale-of-immovable-property\/#TDS_Rates_Chart_for_FY_2025-26_AY_2026-27\" title=\"TDS Rates Chart for FY 2025-26 (AY 2026-27)\">TDS Rates Chart for FY 2025-26 (AY 2026-27)<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-24611\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2023\/05\/Tax-deduction-at-source-on-Sale-of-Immovable-Property..jpeg\" alt=\"Tax deduction at source on Sale of Immovable Property.\" width=\"848\" height=\"460\" \/><\/h2>\n<h2 class=\"entry-title\"><span class=\"ez-toc-section\" id=\"Tax_deduction_at_source_on_Sale_of_Immovable_Property\"><\/span><span style=\"color: #000080;\">Tax deduction at source on Sale of Immovable Property<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-24609\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2016\/03\/tds-.png\" alt=\"TDS on sale \" width=\"876\" height=\"957\" srcset=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2016\/03\/tds-.png 533w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2016\/03\/tds--275x300.png 275w\" sizes=\"(max-width: 876px) 100vw, 876px\" \/><\/p>\n<p>Income ax Ac provides that TDS will be applicable on transfers of immovable property when the property&#8217;s consideration exceeds or is equal to Rs 50 Lakhs. For all transactions starting on June 1, 2013, the buyer of the property has deducted Tax @ 1% while paying the sale consideration.<\/p>\n<p><strong style=\"color: #ff9900; font-size: 16px;\">We offer the following services:<\/strong><\/p>\n<p>RJA are able to offer a whole range of solutions for the sale of properties by NRIs in India.<\/p>\n<ul>\n<li>We guide our clients from the first planning stages prior to the sale of their property to the restoration of the proceeds &amp; also ensure that your tax returns are submitted effortlessly in both countries which including any DTAA benefits that may be available.<\/li>\n<li>Examining if financial repatriation or remittance is permissible.<\/li>\n<li>Providing guidance on any applicable limits or requirements.<\/li>\n<li>Providing a CA certificate (Form 15CB) and aiding with the self-declaration (Form 15CA) required for repatriation of monies out of India.<\/li>\n<li>We at RJA recognise the value of your time and are highly responsible when it comes to tax matters, ensuring that you receive the best advice possible in a timely manner.<\/li>\n<li>As Consultants, we make sure that your all the information is exchanged &amp; preserved safely in the cloud. RJA uses specialized and sophisticated customer data management software to accomplish this goal.<\/li>\n<\/ul>\n<ul>\n<li>\n<h2><span class=\"ez-toc-section\" id=\"TDS_on_Sale_of_Property_by_NRI\"><\/span>TDS on Sale of Property by NRI<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<\/li>\n<\/ul>\n<table class=\"aligncenter\" border=\"1\">\n<tbody>\n<tr>\n<td><span style=\"color: #000080;\"><strong>Capital Gains Nature\u00a0<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>Particulars<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>Applicable TDS Rate on Sale of Property by NRI<\/strong><\/span><\/td>\n<\/tr>\n<tr>\n<td>LTCG<\/td>\n<td>Immovable Property held for greater than 2 years<\/td>\n<td>\u00a020 Percentage<\/td>\n<\/tr>\n<tr>\n<td>SGST<\/td>\n<td>Immovable Property held for less than Two Yrs<\/td>\n<td>Seller Applicable Tax Slab Rates<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<ul>\n<li>Surcharge &amp; Cess would also be levied on the all the above. So, Effective rate of TDS on property sale by <b>Non Resident Indian<\/b> in case of LTCG would be as below:<\/li>\n<\/ul>\n<table class=\"aligncenter\" border=\"1\">\n<tbody>\n<tr>\n<td rowspan=\"2\"><\/td>\n<td rowspan=\"2\"><span style=\"color: #000080;\"><strong>Particulars<\/strong><\/span><\/td>\n<td colspan=\"3\"><span style=\"color: #000080;\"><strong>In case Property Sale Price (Rs.)<\/strong><\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"color: #000080;\"><strong>Less than 50 Lakhs<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>50 Lakhs to 1 Cr<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>More than 1 Cr<\/strong><\/span><\/td>\n<\/tr>\n<tr>\n<td><\/td>\n<td>LTCG Tax<\/td>\n<td>Tax\u00a0 rate 20%<\/td>\n<td>20%<\/td>\n<td>Tax\u00a0 rate 20%<\/td>\n<\/tr>\n<tr>\n<td>(Add)<\/td>\n<td>Surcharge<\/td>\n<td>Nil<\/td>\n<td>10% of above<\/td>\n<td>15% of above<\/td>\n<\/tr>\n<tr>\n<td><\/td>\n<td>Tax (incl Surcharge)<\/td>\n<td>Tax\u00a0 rate 20%<\/td>\n<td>22%<\/td>\n<td>23%<\/td>\n<\/tr>\n<tr>\n<td>(Add)<\/td>\n<td>Health and Ed. Cess<\/td>\n<td>It will be levy @ 4% of above<\/td>\n<td>4% of above<\/td>\n<td>It will be levy @4% of above<\/td>\n<\/tr>\n<tr>\n<td><\/td>\n<td><strong>TDS Rate Applicable<br \/>\n(including Cess &amp; Surcharge)<\/strong><\/td>\n<td><strong>20.8%<\/strong><\/td>\n<td><strong>22.88%<\/strong><\/td>\n<td><strong>23.92%<\/strong><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table class=\"aligncenter\" border=\"1\">\n<tbody>\n<tr>\n<td rowspan=\"2\"><\/td>\n<td rowspan=\"2\"><span style=\"color: #000080;\"><strong>Particulars<\/strong><\/span><\/td>\n<td colspan=\"2\"><span style=\"color: #000080;\"><strong>Property Sale Price (Rs.)<\/strong><\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"color: #000080;\"><strong>1 Cr to 2 Cr<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>2 Cr to 5 Cr<\/strong><\/span><\/td>\n<\/tr>\n<tr>\n<td><\/td>\n<td>LTCG Tax<\/td>\n<td>Tax\u00a0 rate 20%<\/td>\n<td>20%<\/td>\n<\/tr>\n<tr>\n<td>(Add)<\/td>\n<td>Surcharge<\/td>\n<td>25% of above<\/td>\n<td>37% of above<\/td>\n<\/tr>\n<tr>\n<td><\/td>\n<td>Tax (including Surcharge)<\/td>\n<td>25%<\/td>\n<td>27.4%<\/td>\n<\/tr>\n<tr>\n<td>(Add)<\/td>\n<td>Health &amp; Ed. Cess<\/td>\n<td>4% of above<\/td>\n<td>4% of above<\/td>\n<\/tr>\n<tr>\n<td><\/td>\n<td><strong>Applicable TDS Rate<br \/>\n(including Surcharge and Cess)<\/strong><\/td>\n<td><strong>26%<\/strong><\/td>\n<td><strong>28.496%<\/strong><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h2><span class=\"ez-toc-section\" id=\"Non-Filing_Of_Form_26QB-_Penalties_Applicable\"><\/span><span style=\"color: #000080;\"><strong>Non-Filing Of Form 26QB- Penalties Applicable<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<table style=\"height: 311px;\" width=\"832\">\n<tbody>\n<tr>\n<td width=\"312\"><strong>P<\/strong><strong>enal <\/strong><strong>Interest\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0<\/strong><\/td>\n<td width=\"312\"><strong>How <\/strong><strong>to <\/strong><strong>Calculation<\/strong>\u00a0<strong>\u00a0<\/strong><\/td>\n<\/tr>\n<tr>\n<td width=\"312\"><strong>Tax deduction at source Non-remittance<\/strong><\/td>\n<td width=\"312\">1.5 Percentage per month for a period from the date on which Tax deduction at source is deducted to the actual date of payment.<\/td>\n<\/tr>\n<tr>\n<td width=\"312\"><strong>Tax deduction at source Non-deduction<\/strong><\/td>\n<td width=\"312\">1 Percentage per month for a period from date on which Tax deduction at source is deductible and collectable to the date on which Tax deduction at source and Tax collection at source is actually deducted.\u00a0<strong>\u00a0<\/strong><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><strong><span style=\"color: #000080;\">Pre-Sale Assistance<\/span><\/strong><\/p>\n<ul>\n<li>Tax planning prior to a sale \u2013 Recognize your alternatives, such as reinvestment, repatriation, and the resulting cash flows, as well as potential global tax mitigation techniques.<\/li>\n<li>We&#8217;ll put you in touch with evaluated real estate consultants.<\/li>\n<li>Obtaining a certificate of lowers tax deduction from the Income Tax Department (subject to PAN jurisdiction) \u2013 This allows you to limit the amount of tax deducted at source to the amount of tax due on capital gains resulting from property.<\/li>\n<\/ul>\n<p><span style=\"color: #000080;\"><strong>Assistance during sale<\/strong><\/span><\/p>\n<ol>\n<li>Capital gain computation.<\/li>\n<li>Assisting with the reinvestment of profits.<\/li>\n<li>Chartered Accountants certification is required for repatriation &amp; remittance of funds.<\/li>\n<\/ol>\n<p><span style=\"color: #000080;\"><strong>Post-sale assistance<\/strong><\/span><\/p>\n<ul>\n<li>We support on Filing revenue tax returns in India .<\/li>\n<li>Filing tax returns\u00a0 in your country (USA\/Singapore\/Australia).<\/li>\n<li>In your returns, you benefit from the Dual Tax Treaty available.<\/li>\n<li>Support for the income tax evaluation procedures, if any<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"TDS_Rates_Chart_for_FY_2025-26_AY_2026-27\"><\/span><span style=\"color: #000080;\"><strong>TDS Rates Chart for FY 2025-26 (AY 2026-27)<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone  wp-image-28777\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2023\/05\/TDS-Rates-Chart-for-FY-2025-26-AY-2026-27.jpg\" alt=\"TDS Rates Chart for FY 2025-26 (AY 2026-27)\" width=\"977\" height=\"977\" srcset=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2023\/05\/TDS-Rates-Chart-for-FY-2025-26-AY-2026-27.jpg 1057w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2023\/05\/TDS-Rates-Chart-for-FY-2025-26-AY-2026-27-300x300.jpg 300w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2023\/05\/TDS-Rates-Chart-for-FY-2025-26-AY-2026-27-1024x1024.jpg 1024w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2023\/05\/TDS-Rates-Chart-for-FY-2025-26-AY-2026-27-150x150.jpg 150w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2023\/05\/TDS-Rates-Chart-for-FY-2025-26-AY-2026-27-768x768.jpg 768w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2023\/05\/TDS-Rates-Chart-for-FY-2025-26-AY-2026-27-800x800.jpg 800w\" sizes=\"(max-width: 977px) 100vw, 977px\" \/><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-28778\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2023\/05\/TDS-Rates-Chart-for-FY-2025-26-AY-2026-27-.jpg\" alt=\"TDS Rates Chart for FY 2025-26 (AY 2026-27) ..\" width=\"882\" height=\"409\" srcset=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2023\/05\/TDS-Rates-Chart-for-FY-2025-26-AY-2026-27-.jpg 882w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2023\/05\/TDS-Rates-Chart-for-FY-2025-26-AY-2026-27--300x139.jpg 300w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2023\/05\/TDS-Rates-Chart-for-FY-2025-26-AY-2026-27--768x356.jpg 768w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2023\/05\/TDS-Rates-Chart-for-FY-2025-26-AY-2026-27--800x371.jpg 800w\" sizes=\"(max-width: 882px) 100vw, 882px\" \/><\/p>\n<p>Popular blogs :<\/p>\n<ul>\n<li><a href=\"https:\/\/carajput.com\/blog\/corporate-and-professional-update-april-1-2016\/\">F&amp;Q on NRI Income Tax Compliance (Help Centre)<\/a><\/li>\n<li><a href=\"https:\/\/carajput.com\/blog\/key-provisions-of-nri-taxability\/\">Key Provision for <\/a><a href=\"https:\/\/www.caindelhiindia.com\/blog\/income-tax-deductions-to-nri-in-india\/\">NRI Taxation<\/a><\/li>\n<li><a href=\"https:\/\/carajput.com\/blog\/tax-implications-for-nris-who-want-to-sell-property-in-india\/\">Tax implication for NRI on selling property<\/a><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Tax deduction at source on Sale of Immovable Property Income ax Ac provides that TDS will be applicable on transfers of immovable property when the property&#8217;s consideration exceeds or is equal to Rs 50 Lakhs. For all transactions starting on June 1, 2013, the buyer of the property has deducted Tax @ 1% while paying &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9],"tags":[10220],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/24610"}],"collection":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/comments?post=24610"}],"version-history":[{"count":6,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/24610\/revisions"}],"predecessor-version":[{"id":28780,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/24610\/revisions\/28780"}],"wp:attachment":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/media?parent=24610"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/categories?post=24610"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/tags?post=24610"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}