Dear Sir,
Yes, your understanding is correct.
However,You can fill 4 Form 26QB as long as the payments are within the same month.
Alternatively, you may fill multiple form 26QB i.e. 12 form.
TDS on selling of joint property
Hello, Me and my wife are jointly purchasing a property above 50 lacks from joint owners (husband and wife). I need to deduct the TDS of 1% from the total consideration. What is the distribution of the TDS? As per my reading of FAQ (How will transactions of joint parties....?) at https://www.tin-nsdl.com/faqs/tds-on-sale-of-property/TDS-FAQ.html, it should be as per below: Buyer 1 deducts 1% of TDS from Seller 1 for his proportionate share in the house property Buyer 1 deducts 1% of TDS from Seller 2 for her proportionate share in the house property Buyer 2 deducts 1% of TDS from Seller 1 for his proportionate share in the house property Buyer 2 deducts 1% of TDS from Seller 2 for her proportionate share in the house property Is my understanding correct? So we need to fill 4 Form 26QBs - one for each buyer-seller combination? Is this correct? Also, since we paid the total consideration in 3 installments (2 via self-funding and 1 via home loan), this means the above 4 transactions now become 4*3 = 12 transactions, which means 12 Form 26QBs. Is this correct?
Asked 5 years ago in Capital Gains Tax
Yes the understanding is correct that you need to file 4 form 26QB but I don't agree with your understanding of 12 form 26QB.
I think 4 form 26QB is enough and you just mention the payment was made in installments.
Because they say that TDS must be deducted at the time of credit or payment whichever is earlier so you don't take any hassle and deduct TDS on entire amount in one go by showing it as amount credited.
Hope you find the information helpful if you do please rate it 5 and provide your valuable feedback for my improvement.
Thank you
Thank you for your reply. Based on the above, I have now proceeded to fill Form 26QB for the first seller-buyer combination but I am again stuck because of the following problem: There is a field in the form that needs to be filled "Total Amount Paid/Credited" and "Payment Type" which can be either "Lump Sum or Installment". In our case, the first installment is Rs. 200000 (which was paid via a a single cheque by one buyer(me) in the name of one of the sellers)) So, "Total Amount Paid/Credited" = 200000 and "Payment Type" = Installment. When I enter Rs. 200000, by default it calculates the TDS as 1% of 200000, which is Rs. 2000 and then takes me to the e-payment option for making the payment of the TDS of Rs. 2000. The problem is: If I am paying Rs. 2000 while filing the first seller-buyer combination form itself, then there is nothing remaining from this installment to pay while filling the forms of the other 3 combinations. On the other had, if I split the installment amount of Rs. 200000 into 4 combinations of Rs. 50,000 each (so that I can pay 1% TDS on Rs. 50,0000 = Rs. 500 for each form), then in the field "Total Amount Paid/Credited" , I will have to enter Rs. 50,000. But IF the department will try to check my bank statements to verify which transaction reflects Rs. 50,000 it won't find such a transaction because installment was paid using a single cheque of Rs. 200000. This sounds so complicated. Before answering my question, can you please try to fill the form yourself using dummy data (without submitting it) so that you understand my problem clearly. The link to file TDS on house property is : https://onlineservices.tin.egov-nsdl.com/etaxnew/tdsnontds.jsp
Asked 5 years ago
Yes you are correct. The purpose is proper TDS should get deducted and deposited timely.
When I am trying to pay there is no autofill of TDS amount.
In total amount paid or credited you need to mention the amount of agreement and then in the amount paid or credited you need to mention the amount on which TDS is required to be deducted.
What is the amount of transaction?
You can call me if you need any further help.
Hi
Yes ,your understanding is correct.
Dear Sir,
You need to mention the agreement value in "Total amount paid/credited".
Yes, theoretically, your understanding is correct.
However, please note that TDS deduction is on payment basis. So, if only you are making the payments, your wife need not deduct any TDS.
In such case, there would be only 1 form 26QB. As mentioned above, TDS deduction is on payment basis.
Make sure while filing the form, you select the option of more than one buyers and more than one sellers.
Hi,
Yes, you need to file 12 forms 26QB.
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