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A comprehensive list of frequently asked questions on TDS on sale of property .
The Finance Bill 2013 has proposed that purchaser of an immovable property (other than rural agricultural land) worth Rs. 50 lakh or more is required to pay withholding tax at the rate of 1% from the consideration payable to a resident transferor.
According to rules in respect of tax deducted at source, buyer of the property would have to deduct the TDS and deposit the same in Government treasury.
The online form available on the TIN website for furnishing information regarding TDS on property is termed as Form 26QB.
Form 16B is the TDS certificate to be issued by the deductor (Buyer of property) to the deductees (Seller of property) in respect of the taxes deducted and deposited into the Government Account.
Buyer of the property would have to deduct the TDS and deposit the same in Government treasury.
Due date of payment of TDS on transfer of immovable property is thirty days (from existing seven days) from the end of the month in which the deduction is made.
Form 16B will be available for download from the website of Centralized Processing Cell of TDS (CPC-TDS) www.tdscpc.gov.in