TDS on property transferred
Hello Keerthiga
I bought a Flat through a resale before registration and construction in 2014 and I have now completed all my payments to the seller and also to the builder. Earlier, the seller had made milestone payments to the builder for which the builder has been deducting TDS and paying to the Govt and the same goes for me. So when the transfer was made to me, a tripartite agreement was made between the builder, the seller and me to get the rights of the apartment to my name. So as you see, there is no real sale (through a sale registration) that has happened between the seller and me.
This property will be registered in my name for the first time sometime in the next 3/4 months and therefore I would see that this is the first point of sale. The builder is asking me to produce 26QB challans for which TDS needs to be paid for the money that I have paid to the seller. I had paid the full payment whatever is owed to the seller without deducting any TDS as I thought this wasn't a sale.
Therefore the I would believe that the TDS already paid by the seller and by me , which the builder has deducted and paid to the Govt, forms the overall TDS that needs to go to the Govt.. Does this not form the 26QB challan which the builder is seeking as a prerequisite for registration from me?
The illustration goes as follows:
The price agreed for the Flat 1.14 Cr.
The money owed to the Seller 83L (now fully paid)
The money owed to the builder 31L (now fully paid)
TDS deducted by the builder from the seller : 83,000
TDS deducted by the builder from me 31, 000
So my reading here is that this will comprise of the full TDS that need to be filed.
I will be grateful if you can guide me please. Can you please clarify?
Regards
Sebastian