{"id":3847,"date":"2021-12-06T17:46:06","date_gmt":"2021-12-06T12:16:06","guid":{"rendered":"https:\/\/aktassociates.com\/blog\/?p=3847"},"modified":"2021-12-24T10:19:04","modified_gmt":"2021-12-24T04:49:04","slug":"tds-on-sale-of-property-from-nri","status":"publish","type":"post","link":"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/","title":{"rendered":"TDS on Sale of Property from NRI"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_66_1 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >In this article, we will discuss about...<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #1e73be;color:#1e73be\" 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: #1e73be;color:#1e73be\" 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><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#Introduction\" title=\"Introduction\">Introduction<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#Ques_When_TDS_is_required_to_be_deducted\" title=\"Ques: When TDS is required to be deducted?\">Ques: When TDS is required to be deducted?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#Ques_What_is_the_Rate_of_TDS_on_the_Sale_of_Property_by_NRI\" title=\"Ques: What is the Rate of TDS on the Sale of Property by NRI?\">Ques: What is the Rate of TDS on the Sale of Property by NRI?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#Ques_Whether_surcharge_and_Cess_are_also_added_to_the_above_rates\" title=\"Ques: Whether surcharge and Cess are also added to the above rates?\">Ques: Whether surcharge and Cess are also added to the above rates?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#Ques_Whether_surcharge_and_Cess_are_added_on_both_long-term_and_short-term_capital_gains\" title=\"Ques: Whether surcharge and Cess are added on both long-term and short-term capital gains?\">Ques: Whether surcharge and Cess are added on both long-term and short-term capital gains?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#Ques_Whether_TDS_is_deducted_on_an_accrual_basis_or_payment_basis\" title=\"Ques: Whether TDS is deducted on an accrual basis or payment basis?\">Ques: Whether TDS is deducted on an accrual basis or payment basis?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#Ques_What_is_the_limit_for_deducting_TDS\" title=\"Ques: What is the limit for deducting TDS?\">Ques: What is the limit for deducting TDS?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#Ques_On_which_amount_TDS_is_required_to_be_deducted\" title=\"Ques: On which amount, TDS is required to be deducted\">Ques: On which amount, TDS is required to be deducted<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#Ques_What_is_the_procedure_for_computing_the_capital_gain_with_the_help_of_an_assessing_officer\" title=\"Ques: What is the procedure for computing the capital gain with the help of an assessing officer?\">Ques: What is the procedure for computing the capital gain with the help of an assessing officer?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#Ques_What_if_the_certificate_has_not_been_obtained_by_the_seller_from_the_assessing_officer\" title=\"Ques: What if, the certificate has not been obtained by the seller from the assessing officer?\">Ques: What if, the certificate has not been obtained by the seller from the assessing officer?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#Ques_What_if_the_TDS_has_been_wrongly_deducted\" title=\"Ques: What if the TDS has been wrongly deducted?\">Ques: What if the TDS has been wrongly deducted?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#Ques_How_to_deposit_the_TDS_and_what_is_the_procedure_to_deposit_the_TDS_return\" title=\"Ques: How to deposit the TDS and what is the procedure to deposit the TDS return?\">Ques: How to deposit the TDS and what is the procedure to deposit the TDS return?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#Ques_Whether_the_buyer_is_also_required_to_possess_a_TAN_Number\" title=\"Ques: Whether the buyer is also required to possess a TAN Number?\">Ques: Whether the buyer is also required to possess a TAN Number?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#Ques_What_is_the_time_limit_to_deposit_TDS\" title=\"Ques: What is the time limit to deposit TDS?\">Ques: What is the time limit to deposit TDS?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#Ques_What_are_the_important_points_which_should_be_taken_care_by_the_Seller\" title=\"Ques: What are the important points which should be taken care by the Seller\">Ques: What are the important points which should be taken care by the Seller<\/a><\/li><\/ul><\/nav><\/div>\n<h3><span class=\"ez-toc-section\" id=\"Introduction\"><\/span><b>Introduction<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">TDS is required to be deducted, whenever any property is purchased\/sold. In this article, we will understand the provision of income tax relating to TDS which is required to be deducted on the sale of the property. As per our traditional format, this article will also move in question-and-answer format.\u00a0<\/span><\/p>\n<p><a href=\"https:\/\/aktassociates.com\/nri-lower-tds-certificate-sale-of-property-in-india\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-3844 size-full\" src=\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2021\/11\/TDS-on-Sale-of-Property-from-NRI.jpg\" alt=\"TDS on Sale of Property\" width=\"700\" height=\"400\" srcset=\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2021\/11\/TDS-on-Sale-of-Property-from-NRI.jpg 700w, https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2021\/11\/TDS-on-Sale-of-Property-from-NRI-300x171.jpg 300w\" sizes=\"(max-width: 700px) 100vw, 700px\" \/><\/a><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Ques_When_TDS_is_required_to_be_deducted\"><\/span><b>Ques: When TDS is required to be deducted?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><b>Sol:<\/b><span style=\"font-weight: 400;\"> The buyer will have to deduct TDS at the time of paying the amount to the seller and pay the balance to the seller. Such deducted amount is then required to be deposited to the government by the buyer.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Now, the provision may differently apply on the basis of the residential status of the seller. In case the seller is a resident Indian then the amount of TDS would be 1% of the Sale Price would be deducted however in the case where the seller is an <a href=\"https:\/\/aktassociates.com\/blog\/deduction-of-tds-by-nri-on-ltcg\/\">NRI TDS deduction<\/a> would depend on the quantum of money received by the seller. We will understand the same in detail here.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Although, the buyer\u2019s residential status would not be considered and only the residential status of the seller would be considered for calculating the number of TDS to be deducted.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Ques_What_is_the_Rate_of_TDS_on_the_Sale_of_Property_by_NRI\"><\/span><b>Ques:<\/b> <b>What is the Rate of TDS on the Sale of Property by NRI?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">The provision will be differently applied on the basis of the status of the supplier. <a href=\"https:\/\/aktassociates.com\/nri-lower-tds-certificate-sale-of-property-in-india\">TDS on Sale of Property by NRI<\/a> is required to be deducted as per the rates mentioned below:-<\/span><\/p>\n<table>\n<tbody>\n<tr>\n<td><b>Nature of Capital Gains<\/b><\/td>\n<td><b>Description<\/b><\/td>\n<td><b>TDS Rate on Sale of Property by NRI<\/b><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Long Term Capital Gains<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Where the Property held for more than 2 years<\/span><\/td>\n<td><span style=\"font-weight: 400;\">\u00a020%<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Short Term Capital Gains<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Property held for less than 2 years<\/span><\/td>\n<td><span style=\"font-weight: 400;\">\u00a0Income Tax Slab Rates of Seller<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h3><span class=\"ez-toc-section\" id=\"Ques_Whether_surcharge_and_Cess_are_also_added_to_the_above_rates\"><\/span><b>Ques: Whether surcharge and Cess are also added to the above rates?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><b>Sol:<\/b><span style=\"font-weight: 400;\"> In the above amount, Surcharge and Cess would also be further added.<\/span><\/p>\n<h3><a href=\"https:\/\/aktassociates.com\/nri-lower-tds-certificate-sale-of-property-in-india\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-3865 size-full\" src=\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2021\/12\/For-Consultation-from-Experts-Please-contact-1.jpg\" alt=\"nri consulting\" width=\"700\" height=\"150\" srcset=\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2021\/12\/For-Consultation-from-Experts-Please-contact-1.jpg 700w, https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2021\/12\/For-Consultation-from-Experts-Please-contact-1-300x64.jpg 300w\" sizes=\"(max-width: 700px) 100vw, 700px\" \/><\/a><\/h3>\n<h3><span class=\"ez-toc-section\" id=\"Ques_Whether_surcharge_and_Cess_are_added_on_both_long-term_and_short-term_capital_gains\"><\/span><b>Ques: Whether surcharge and Cess are added on both long-term and short-term capital gains?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><b>Sol:<\/b><span style=\"font-weight: 400;\"> In the case of <\/span><a href=\"https:\/\/aktassociates.com\/blog\/section54f-capital-gain-tax\/\"><span style=\"font-weight: 400;\">Short Term Capital Gains<\/span><\/a><span style=\"font-weight: 400;\"> (i.e. where the property has been sold within 2 years from the date of purchase), the Surcharge and Cess would also be added to the applicable Tax Rate as per the Income Tax Slabs in the same manner as for the Long Term Capital Gains.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Ques_Whether_TDS_is_deducted_on_an_accrual_basis_or_payment_basis\"><\/span><b>Ques: Whether TDS is deducted on an accrual basis or payment basis?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><b>Sol:<\/b><span style=\"font-weight: 400;\"> The TDS is required to be deducted on a payment basis that means whenever the buyer made any payment to the NRI for the purchase of the property. Even if any advance amount is being paid for the purchase of property, TDS would be deducted.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">TDS is to be deposited by the buyer with the Income Tax Dept by stating that this is the TDS which he has deducted from the payment made to NRI.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Ques_What_is_the_limit_for_deducting_TDS\"><\/span><b>Ques: What is the limit for deducting TDS?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><b>Sol:<\/b><span style=\"font-weight: 400;\"><a href=\"https:\/\/aktassociates.com\/blog\/nri-dealing-with-immovable-property-by-fema\/\"> TDS on purchase of immovable property from NRI<\/a> is required to be deducted irrespective of the Transaction Value of the Property. Even if the value of the property is less than Rs. 50 Lakhs \u2013 this TDS is required to be deducted. The limit of Rs.50 Lakhs is defined here because in the case where the seller is resident then the TDS would have to be deducted where the transaction value is Rs50 Lakhs or more however this limit is applied where the seller is Non-resident. Such deducted TDS amount is required to be paid to the government by furnishing Form 26QB within 30 days from the end of the month in which TDS was deduction was initiated.<\/span><\/p>\n<h3><a href=\"https:\/\/www.youtube.com\/watch?v=f8DQS2YbXds&amp;t=368s\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-3600 size-full\" src=\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/11\/Untitled-design-7.png\" alt=\"Nri selling property in india\" width=\"700\" height=\"400\" srcset=\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/11\/Untitled-design-7.png 700w, https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/11\/Untitled-design-7-300x171.png 300w, https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/11\/Untitled-design-7-20x11.png 20w\" sizes=\"(max-width: 700px) 100vw, 700px\" \/><\/a><\/h3>\n<h3><span class=\"ez-toc-section\" id=\"Ques_On_which_amount_TDS_is_required_to_be_deducted\"><\/span><b>Ques: On which amount, TDS is required to be deducted<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><b>Sol:<\/b><span style=\"font-weight: 400;\"> Section 195 of the Income-tax act deals with the TDS on the purchase of immovable property from NRI and is normally required to be deducted on the amount of Capital Gains. However, the computation of Capital Gains cannot be done by the NRI Seller himself and should be done by the Income Tax Officer.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Ques_What_is_the_procedure_for_computing_the_capital_gain_with_the_help_of_an_assessing_officer\"><\/span><b>Ques: What is the procedure for computing the capital gain with the help of an assessing officer?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><b>Sol:<\/b><span style=\"font-weight: 400;\"> The seller shall file an application <\/span><a href=\"https:\/\/aktassociates.com\/blog\/lower-deduction-tds-form-13\/\"><span style=\"font-weight: 400;\">Form 13<\/span><\/a><span style=\"font-weight: 400;\"> with the Income Tax Dept and also request them to calculate his Capital Gains. Although, the procedure is a bit complicated for filing this form and the NRI seller can take the assistance of a chartered accountant for filing this application with the Income Tax Dept.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The department will compute the Capital Gains of the seller and will also issue a <a href=\"https:\/\/aktassociates.com\/nri-lower-tds-certificate-sale-of-property-in-india\">certificate for Nil\/ Lower deduction<\/a> of TDS depending on the capital gains arising on the sale of the property.\u00a0\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The certificate shall be generated by the department and is required to give to the buyer by the seller and on the basis of that certificate, the buyer will deduct the TDS as per the rates mentioned in the income tax certificate.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Ques_What_if_the_certificate_has_not_been_obtained_by_the_seller_from_the_assessing_officer\"><\/span><b>Ques: What if, the certificate has not been obtained by the seller from the assessing officer?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><b>Sol: <\/b><span style=\"font-weight: 400;\">If the certificate is not obtained by the seller from the assessing officer, then TDS should be deducted on the Total Sale Price and not on the Capital Gains. Hence, it is very important for the seller to obtain this certificate from the Income Tax Officer.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">It is also advisable that the TDS details should be mentioned in Property Sale Agreement. It is to be noted that it is not the responsibility of the Registrar to ensure the TDS Deduction. The property registrar shall register the Sale Agreement even if the amount of TDS is not deducted or wrongly deducted.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Ques_What_if_the_TDS_has_been_wrongly_deducted\"><\/span><b>Ques: What if the TDS has been wrongly deducted?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><b>Sol:<\/b><span style=\"font-weight: 400;\"> If the TDS is not deducted or wrongly deducted, the\u00a0<\/span><span style=\"font-weight: 400;\">Income Tax Dept<\/span><span style=\"font-weight: 400;\">\u00a0shall not do anything to the seller but will hold of the property of the buyer and ask him to deposit the TDS. If the buyer fails to deduct the TDS or deduct the TDS of less amount then the <a href=\"https:\/\/aktassociates.com\/business-compliance\/yearly-compliance\/it-return-filing\">Income Tax<\/a> Dept will recover the TDS from the buyer.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Ques_How_to_deposit_the_TDS_and_what_is_the_procedure_to_deposit_the_TDS_return\"><\/span><b>Ques: How to deposit the TDS and what is the procedure to deposit the TDS return?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><b>Sol:<\/b><span style=\"font-weight: 400;\"> It is important to take care of the compliances at the time of buying a property from an NRI. Initially, the buyer should have a TAN No. for the TDS deduction. Although, TAN No. is not required in case the property is purchased from an Indian Resident but will become mandatory in case the property is purchased from a Non-Resident Indian.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Ques_Whether_the_buyer_is_also_required_to_possess_a_TAN_Number\"><\/span><b>Ques: Whether the buyer is also required to possess a TAN Number?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">TAN No.<\/span><span style=\"font-weight: 400;\">\u00a0means Tax Deduction and Collection Account number which is different from a\u00a0<\/span><span style=\"font-weight: 400;\">PAN No<\/span><span style=\"font-weight: 400;\">. Only buyer is required to have the <a href=\"https:\/\/aktassociates.com\/blog\/tax-account-number-tan\/\">TAN No<\/a>. and not the seller. In case the buyer does not possess the TAN No., he should firstly apply for the same before deduction of TDS. It is very important to note here that in case there are two buyers, then both the buyers would be required to apply for the TAN No.\u00a0\u00a0<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Ques_What_is_the_time_limit_to_deposit_TDS\"><\/span><b>Ques: What is the time limit to deposit TDS?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><b>Sol:<\/b><span style=\"font-weight: 400;\"> The buyer is required to deposit the TDS amount within 7 days from the end of the month in which the TDS has been deducted with the Income Tax Dept. For example: If TDS is deducted in the month of July, then the TDS should be deposited with the Income Tax Dept on or before 7<\/span><span style=\"font-weight: 400;\">th<\/span><span style=\"font-weight: 400;\">\u00a0August.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Once, the TDS has been deposited, the buyer is required to file a TDS Return. Such Return would be filed in<a href=\"https:\/\/aktassociates.com\/blog\/nri-tds-return-form-27q\/\">\u00a0<\/a><\/span><a href=\"https:\/\/aktassociates.com\/blog\/nri-tds-return-form-27q\/\"><span style=\"font-weight: 400;\">Form 27Q<\/span><\/a><span style=\"font-weight: 400;\"> and is required to be filed separately for each quarter in which the TDS has been deducted. TDS Return is required to be filed within 31 days from the end of the quarter in which the TDS has been deducted.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">After the deposit of TDS and furnishing of <a href=\"https:\/\/aktassociates.com\/business-compliance\/tax-compliance\/tds-return-filing\">TDS Return<\/a>, the buyer shall also furnish\u00a0<\/span><span style=\"font-weight: 400;\">Form 16A<\/span><span style=\"font-weight: 400;\"> to the seller of the property.\u00a0<\/span><\/p>\n<h3><a href=\"https:\/\/pages.razorpay.com\/free-nri-tax-consulting\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-3540 size-full\" src=\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/12\/Sell-Property.jpg\" alt=\"nri Sell Property\" width=\"700\" height=\"150\" srcset=\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/12\/Sell-Property.jpg 700w, https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/12\/Sell-Property-300x64.jpg 300w, https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/12\/Sell-Property-20x4.jpg 20w\" sizes=\"(max-width: 700px) 100vw, 700px\" \/><\/a><\/h3>\n<h3><span class=\"ez-toc-section\" id=\"Ques_What_are_the_important_points_which_should_be_taken_care_by_the_Seller\"><\/span><b>Ques: What are the important points which should be taken care by the Seller<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><b>Sol:<\/b><span style=\"font-weight: 400;\"> The following are the points that should be kept in mind by the seller at the time of deduction of<a href=\"https:\/\/aktassociates.com\/nri-lower-tds-certificate-sale-of-property-in-india\"> TDS on Sale of Property by NRI<\/a><\/span><\/p>\n<ol>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Attempt to get the Certificate from the Income Tax Department for computing of Capital Gains which will result of lower of deduction of TDS.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Numerous documents like Date of Purchase, Purchase Price, any expenses on Renovation\/ Construction, etc. shall be required to be submitted with <a href=\"https:\/\/aktassociates.com\/blog\/lower-deduction-tds-form-13\/\">Form 13.<\/a> The assessing officer will also review these documents and when he is satisfied, he will issue a certificate for lower deduction of TDS.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">In case the Seller is not able to get the Certificate, TDS would be deducted on Sale Value which will lead to excess deduction of TDS.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The seller should also collect Form 16A from the Buyer along with Property Registration Documents.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">If the seller intends to\u00a0<\/span><span style=\"font-weight: 400;\">reinvest the Capital Gains in India<\/span><span style=\"font-weight: 400;\">, <\/span><span style=\"font-weight: 400;\">the seller can reduce his Capital Gains which will lead to lesser TDS and Tax Liability.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The seller can also apply for a refund of the excess TDS deducted at the end of the year, in case he does not opt for this certificate.<\/span><\/li>\n<\/ol>\n","protected":false},"excerpt":{"rendered":"<p>Introduction TDS is required to be deducted, whenever any property is purchased\/sold. In this article, we will understand the provision &#8230; <\/p>\n<p class=\"read-more-container\"><a title=\"TDS on Sale of Property from NRI\" class=\"read-more button\" href=\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#more-3847\">Read more<span class=\"screen-reader-text\">TDS on Sale of Property from NRI<\/span><\/a><\/p>\n","protected":false},"author":4,"featured_media":3842,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[107],"tags":[109,130,133,127,128,129,131,132,126],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.8 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>TDS on Sale of Property from NRI AKT Associates<\/title>\n<meta name=\"description\" content=\"In this article, we will understand the provision of income tax relating to TDS which is required to be deducted on the sale of the property.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"TDS on Sale of Property from NRI AKT Associates\" \/>\n<meta property=\"og:description\" content=\"In this article, we will understand the provision of income tax relating to TDS which is required to be deducted on the sale of the property.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/\" \/>\n<meta property=\"og:site_name\" content=\"AKT Associates\" \/>\n<meta property=\"article:published_time\" content=\"2021-12-06T12:16:06+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2021-12-24T04:49:04+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2021\/11\/TDS-on-Sale-of-Property-from-NRI-1.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"500\" \/>\n\t<meta property=\"og:image:height\" content=\"300\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"CA Arun Tiwari\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"CA Arun Tiwari\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"8 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/\"},\"author\":{\"name\":\"CA Arun Tiwari\",\"@id\":\"https:\/\/aktassociates.com\/blog\/#\/schema\/person\/27565c59ca4857ec78a645bd21dca21d\"},\"headline\":\"TDS on Sale of Property from NRI\",\"datePublished\":\"2021-12-06T12:16:06+00:00\",\"dateModified\":\"2021-12-24T04:49:04+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/\"},\"wordCount\":1526,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/aktassociates.com\/blog\/#organization\"},\"image\":{\"@id\":\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2021\/11\/TDS-on-Sale-of-Property-from-NRI-1.jpg\",\"keywords\":[\"Capital Gains\",\"form 27q\",\"Long Term Capital Gains.\",\"lower tds\",\"lower tds certificate for nri\",\"nri lower tds certificate\",\"NRI TDS deduction\",\"Short Term Capital Gains\",\"TDS on Sale of Property from NRI\"],\"articleSection\":[\"NRI\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/\",\"url\":\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/\",\"name\":\"TDS on Sale of Property from NRI AKT Associates\",\"isPartOf\":{\"@id\":\"https:\/\/aktassociates.com\/blog\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2021\/11\/TDS-on-Sale-of-Property-from-NRI-1.jpg\",\"datePublished\":\"2021-12-06T12:16:06+00:00\",\"dateModified\":\"2021-12-24T04:49:04+00:00\",\"description\":\"In this article, we will understand the provision of income tax relating to TDS which is required to be deducted on the sale of the property.\",\"breadcrumb\":{\"@id\":\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#primaryimage\",\"url\":\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2021\/11\/TDS-on-Sale-of-Property-from-NRI-1.jpg\",\"contentUrl\":\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2021\/11\/TDS-on-Sale-of-Property-from-NRI-1.jpg\",\"width\":500,\"height\":300,\"caption\":\"TDS on Sale of Property from NRI\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/aktassociates.com\/blog\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"TDS on Sale of Property from NRI\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/aktassociates.com\/blog\/#website\",\"url\":\"https:\/\/aktassociates.com\/blog\/\",\"name\":\"AKT Associates\",\"description\":\"World&#039;s first WhatsApp based Tax Compliance Firm\",\"publisher\":{\"@id\":\"https:\/\/aktassociates.com\/blog\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/aktassociates.com\/blog\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/aktassociates.com\/blog\/#organization\",\"name\":\"AKT Associates\",\"url\":\"https:\/\/aktassociates.com\/blog\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/aktassociates.com\/blog\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/06\/cropped-akt-associates-blog-logo.jpg\",\"contentUrl\":\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/06\/cropped-akt-associates-blog-logo.jpg\",\"width\":70,\"height\":70,\"caption\":\"AKT Associates\"},\"image\":{\"@id\":\"https:\/\/aktassociates.com\/blog\/#\/schema\/logo\/image\/\"}},{\"@type\":\"Person\",\"@id\":\"https:\/\/aktassociates.com\/blog\/#\/schema\/person\/27565c59ca4857ec78a645bd21dca21d\",\"name\":\"CA Arun Tiwari\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/aktassociates.com\/blog\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/854bca151173b3a487a918c60c6bae56?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/854bca151173b3a487a918c60c6bae56?s=96&d=mm&r=g\",\"caption\":\"CA Arun Tiwari\"},\"url\":\"https:\/\/aktassociates.com\/blog\/author\/arunsir\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"TDS on Sale of Property from NRI AKT Associates","description":"In this article, we will understand the provision of income tax relating to TDS which is required to be deducted on the sale of the property.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/","og_locale":"en_US","og_type":"article","og_title":"TDS on Sale of Property from NRI AKT Associates","og_description":"In this article, we will understand the provision of income tax relating to TDS which is required to be deducted on the sale of the property.","og_url":"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/","og_site_name":"AKT Associates","article_published_time":"2021-12-06T12:16:06+00:00","article_modified_time":"2021-12-24T04:49:04+00:00","og_image":[{"width":500,"height":300,"url":"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2021\/11\/TDS-on-Sale-of-Property-from-NRI-1.jpg","type":"image\/jpeg"}],"author":"CA Arun Tiwari","twitter_card":"summary_large_image","twitter_misc":{"Written by":"CA Arun Tiwari","Est. reading time":"8 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#article","isPartOf":{"@id":"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/"},"author":{"name":"CA Arun Tiwari","@id":"https:\/\/aktassociates.com\/blog\/#\/schema\/person\/27565c59ca4857ec78a645bd21dca21d"},"headline":"TDS on Sale of Property from NRI","datePublished":"2021-12-06T12:16:06+00:00","dateModified":"2021-12-24T04:49:04+00:00","mainEntityOfPage":{"@id":"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/"},"wordCount":1526,"commentCount":0,"publisher":{"@id":"https:\/\/aktassociates.com\/blog\/#organization"},"image":{"@id":"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#primaryimage"},"thumbnailUrl":"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2021\/11\/TDS-on-Sale-of-Property-from-NRI-1.jpg","keywords":["Capital Gains","form 27q","Long Term Capital Gains.","lower tds","lower tds certificate for nri","nri lower tds certificate","NRI TDS deduction","Short Term Capital Gains","TDS on Sale of Property from NRI"],"articleSection":["NRI"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#respond"]}]},{"@type":"WebPage","@id":"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/","url":"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/","name":"TDS on Sale of Property from NRI AKT Associates","isPartOf":{"@id":"https:\/\/aktassociates.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#primaryimage"},"image":{"@id":"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#primaryimage"},"thumbnailUrl":"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2021\/11\/TDS-on-Sale-of-Property-from-NRI-1.jpg","datePublished":"2021-12-06T12:16:06+00:00","dateModified":"2021-12-24T04:49:04+00:00","description":"In this article, we will understand the provision of income tax relating to TDS which is required to be deducted on the sale of the property.","breadcrumb":{"@id":"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#primaryimage","url":"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2021\/11\/TDS-on-Sale-of-Property-from-NRI-1.jpg","contentUrl":"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2021\/11\/TDS-on-Sale-of-Property-from-NRI-1.jpg","width":500,"height":300,"caption":"TDS on Sale of Property from NRI"},{"@type":"BreadcrumbList","@id":"https:\/\/aktassociates.com\/blog\/tds-on-sale-of-property-from-nri\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/aktassociates.com\/blog\/"},{"@type":"ListItem","position":2,"name":"TDS on Sale of Property from NRI"}]},{"@type":"WebSite","@id":"https:\/\/aktassociates.com\/blog\/#website","url":"https:\/\/aktassociates.com\/blog\/","name":"AKT Associates","description":"World&#039;s first WhatsApp based Tax Compliance Firm","publisher":{"@id":"https:\/\/aktassociates.com\/blog\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/aktassociates.com\/blog\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/aktassociates.com\/blog\/#organization","name":"AKT Associates","url":"https:\/\/aktassociates.com\/blog\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/aktassociates.com\/blog\/#\/schema\/logo\/image\/","url":"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/06\/cropped-akt-associates-blog-logo.jpg","contentUrl":"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/06\/cropped-akt-associates-blog-logo.jpg","width":70,"height":70,"caption":"AKT Associates"},"image":{"@id":"https:\/\/aktassociates.com\/blog\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/aktassociates.com\/blog\/#\/schema\/person\/27565c59ca4857ec78a645bd21dca21d","name":"CA Arun Tiwari","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/aktassociates.com\/blog\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/854bca151173b3a487a918c60c6bae56?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/854bca151173b3a487a918c60c6bae56?s=96&d=mm&r=g","caption":"CA Arun Tiwari"},"url":"https:\/\/aktassociates.com\/blog\/author\/arunsir\/"}]}},"_links":{"self":[{"href":"https:\/\/aktassociates.com\/blog\/wp-json\/wp\/v2\/posts\/3847"}],"collection":[{"href":"https:\/\/aktassociates.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/aktassociates.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/aktassociates.com\/blog\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/aktassociates.com\/blog\/wp-json\/wp\/v2\/comments?post=3847"}],"version-history":[{"count":9,"href":"https:\/\/aktassociates.com\/blog\/wp-json\/wp\/v2\/posts\/3847\/revisions"}],"predecessor-version":[{"id":3901,"href":"https:\/\/aktassociates.com\/blog\/wp-json\/wp\/v2\/posts\/3847\/revisions\/3901"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/aktassociates.com\/blog\/wp-json\/wp\/v2\/media\/3842"}],"wp:attachment":[{"href":"https:\/\/aktassociates.com\/blog\/wp-json\/wp\/v2\/media?parent=3847"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/aktassociates.com\/blog\/wp-json\/wp\/v2\/categories?post=3847"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/aktassociates.com\/blog\/wp-json\/wp\/v2\/tags?post=3847"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}