My Property purchase value is more than 50 Lakhs and i have to pay TDS , However this was not told by builder earlier to me and all my previous installments have gone without TDS being deducted. Now am paying TDS of 1% on total purchase value, However am worried about the previous payments which are already made and what penalty is applicable on my previous payments?
You will have to pay TDS on entire amount of money paid to builder till date.
For the earlier installments you will also have to pay interest @1% per month or part of the month.
Please feel free to call/ revert in case you need more clarity
Thanks and regards
Abhishek Dugar
CA CS B.Com
Hi,
You will need to pay the tds on the full amount.
However, for all the earlier installments that you paid without deducting the tds, you will be liable to pay 1% interest per month or part of the month.
Regards,
Nikhil.
Hi
Interest shall be applicable for you. Pay the TDS amount along with an interest @ 1% per month for late deduction of TDS.
You have to pay interest on previous installments @ 1% per month.
Hi All Following up i understand that i need to pay penalty and late fine, Now i have roughly calculated the penalty amount is nearly 50k after equally dividing the payments made into two , The problem is me and my wife are joint owners and seperate challans have to be filed now in this case penalty has to be borne by both so does it mean i have to pay 1 lac as penalty whereas my total tds is just 57k , read that penalty cannot be more than tds , pls help
I think the calculations aren't made correctly. Please share the details of the payments made without TDS. Interest is 1% per month on the TDS amount.
Hi,
This doesnt look correct. Did you compute on the total payment to the builder?
Interest is to be computed @1% per month on the tds amount that was supposed to be paid.
Regards,
Nikhil.
Yes, penalty cannot be more than TDS but which penalty are you talking about.
There is only interest which you have to pay.
Late fee is payable only for non furnishing of TDS return. TDS return will become due one you deduct TDS.
Total penalty to be divided by both ,in share of property held.