26qb

As per section 194 IA of Income tax Act, 1961, TDS is applicable on sale of immovable property, if the consideration of property exceeds or equal to Rs. 50,00,000/- (Rs. Fifty lakhs). The rate of tax under the above section is 1% which is to be deducted and need to be deposited by buyer. Steps to be taken by buyer, if he purchases property of Rs. 50,00,000/- or more • He must have PAN (Permanent Account Number) issued by income tax department. • He must collect PAN (Permanent Account Number) from the seller of property. • Buyer needs to deduct tax @1% of the total sale consideration before each payment, doesn't matter payment has been made on lumpsum (One time) or in instalment. Example Mr. A purchased property of Rs. 60,00,000/- from Mr. B then following scenario can be made: • Mr. A go for lumpsum (One-time payment) then Mr. A will pay Rs. 59,40,000/- to Mr. B after deducting 1% tax on the total consideration amount i.e. 1% of Rs. 60,00,000/- & will deposit tax of Rs. 60,000/- • Mr. A wants to pay the consideration amount in instalment, say in 6 instalments (6 instalment of Rs. 10,00,000/- each), In this scenario Mr. A will pay Rs. 9,90,000/- to Mr. B after deducting 1% tax on the consideration amount i.e. 1% of Rs. 10,00,000/- & will deposit tax of Rs. 10,000/- at each payment. • If Mr. A go for home loan (Alternative 1) for 80% of the total consideration amount and rest pay form own funds, then bank will disburse Rs. 48,00,000/- & Rs. 12,00,000/- shall be payable by ow...

ગુજરાતી • • • • • • • New • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • Live • • • • • • • • • • • • • • • • • • • • Introduction Form 26QB is a form used by buyers to file their tax deducted at source (TDS) return for the sale of a property. The form is provided by the Income Tax Department and comes under the purview of Section 194IA of the Indian Income Tax Act, 1961. It requires sellers to deduct a certain percentage of tax from property sales, ranging from 1% to 30%, depending on the amount of sale. This article will discuss everything about form 26QB and the meaning of 26QB TDS return. What is Form 26QB? 26QB TDS return meaning is simple; it is a form used by buyers to file tax deducted at source (TDS) returns for the sale of a property. It is provided by the Income Tax Department and falls under Section 194IA of the Indian Income Tax Act, 1961. This form contains all the relevant information related to the purchase of immovable properties, such as the date of purchase, the amount paid, and the PAN number of the buyer. Requirements Associated with Form 26QB ●Form 26QB must be filled in full and accurately to avoid any problems ●The form should have all the relevant details of the buyer as well as the seller, along with PAN numbers ●Payment challan 280 should also be attached along wit...

For a quick and convenient collection of taxes, the income tax department has introduced the tax deduction system known as TDS . As per the Finance Act, 2013, any HUF or individual purchasing real estate worth at least Rs 50 lakh must deduct TDS when paying the seller. This TDS amount has to be paid to the government by filing Form 26QB within the specific time frame. In this article, we have explored everything related to online Form 26QB. Scroll down and read further. What is the 26QB Form? The Income Tax Act of 1961 has set certain rules related to purchasing and selling immovable property. Under Section 194-IA of the income tax, a buyer should deduct TDS at 1% of property value for transactions exceeding Rs 50 lakh. For instance, if a buyer has purchased a property by paying Rs 90 lakh, then the deduction of TDS will be initiated on the property's value (i.e, 90 lakhs) and not on Rs 40 lakh (90-50). 26QB is an online statement cum challan form used for the payment of this TDS to the government. The buyer needs to fill out this form within a stipulated time for making a TDS payment on the sale of a property. This form requires all details of the property along with the details of buyers, sellers, tax deposits, and so on. It is available on the TIN-NSDL website. When Should Form 26QB be Filed? If you are a buyer, then you must file and submit Form 26QB within 30 days from the month’s end for which the tax was deducted. For a comprehensive understanding, let’s consider an...

About this plan When you buy an immovable property (i.e. a building or a land) costing more than Rs 50 lakh you need to deduct TDS at rate of 1% on the payment made to the seller and file TDS return. The delay in filing the return attracts interest and penalty. Under this plan ClearTax provides you with a prompt mechanism to comply with all the TDS compliance on purchase of immovable property. TDS has to be deducted by every buyer on purchase of an immovable property being building/land other than agriculture land if the purchase value exceeds Rs. 50 lakh. TDS is to be deducted from whole amount to be paid. For eg. if a property is bought for Rs 70 lakh then TDS has to be deducted on the entire amount that is Rs 70 lakh, not on just the Rs 20 lakh that exceeds the Rs 50 lakh threshold. From June 1st 2013, when a buyer (Indian Resident) buys immovable property (i.e. a building or part of a building or any land other than agricultural land) costing more than Rs 50 lakhs, he has to deduct TDS when he pays the seller. So, TDS is required to be deducted and you will also have to pay late fee and interest. TDS has to be deducted at the time of making the payment, whether in lump sum or installments. TDS has to be deducted and deposited within 7 days of the next month in which payment is made. For eg. for a payment that is made in the month of September, the return has to be filed by 7th of october. *In case TDS is not deducted, interest is payable at 1% per month *In case TDS is...

Applicability Section 194IA is inserted by Finance act 2013 and is applicable from 01 st of June , 2013. A person who is purchasing any immovable property (other than agricultural land) from a resident is required to deduct TDS @ 1% from the amount payable in this behalf. TDS is not required to be deducted If the property value is less than Rs. 50 lakhs. Also, TDS is required to be deducted on all type of immovable property such residential property, commercial property or industry except agricultural land. Exception • The provisions of this section is not applicable where section 194LA regarding compulsory acquisition is applicable. • If the seller is non-resident or NRI then TDS is to be deducted under section 195 on basis of capital gains and not under this section. • When it comes to under construction properties, TDS will be deducted on installments paid on or after 1st June, 2013. No TDS is applicable on the installments paid before 1st June, 2013. Rate of TDS, Threshold limit TDS is required to be deducted @ 1% on the amount payable to the seller of property. If the PAN number of the seller is not available then the TDS is required to be deducted @ 20%. No tax is required to be deducted where the total amount of consideration (selling price of property) is less than Rs. 50 lakhs. When amount of consideration is Rs 50 lakhs or more then the TDS is to be deducted on the whole amount not only on the amount exceeding Rs. 50 lakhs. Also Read – Time of Deduction Tax is re...