NRI selling property in india
I have a couple of questions around CGT calculations and some procedures.
1. First of all, what is the actual percentage which is to be applied? Mine is a LTCG, over 50 lacs but under 1 cr, so TDS (u/s 195, i think) percentage is 22.88%? Believe me, every site has a different figure. So break up is 20% plus 10% surcharge plus 4 % Ed & health cess makes it 20.88. Is this correct?
2. So lets assume, it is 22.88%.Now, this TDS has to be calculated and deposited, every time a payment is made to me? Like, 1 lack token money, pay 20.88%, then again 10 lacs own contri, again deposit TDS and so on.
3. How do I help buyer under stand TDS implication. Shall I start with asking him to first get a TAN. File a challan ITNS 281. Once done give me form 16A. Is this too simplistic approach?
4. Finally, a wise person told that I should fist try to get a less/nil TDS certificate from the AO in order to avoid huge TDS on LTCG. . Sounds simple, but just dont know how to simply approach my AO, sitting in Australia! Maybe I should just let the buyer deposit 22.88% of the sale amount and I will try to get the amount back in the next FY. Which one is a better approach. Ofcourse, I think I am a little less with time that I can pursue to get an TDS exemption certificate before the sale happens.