CA Sandeep Kanoi

CA Sandeep Kanoi

CBDT has Vide notification no. 30/2016 dated 29-04-2016 extended Due date for payment of TDS on transfer of immovable property u/s 194IA  to 30 days from existing 7 days.

Section 194IA requires buyer of the Property to deduct 1% TDS while making payment to seller if consideration of the Property exceeds 50 Lakh Rupees. Such TDS was required to be paid within 7 days from the end of the month in which payment been made but now CBDT has extended such 7 day period to 30 days for all payments to be made on or after 01st June 2016.

Due date for Payment is been specified in Sub -Rule 2A of 30 of Income Tax Rules. Revised Sub -Rule 2A of 30 of Income Tax Rules wef 01.06.2016 is as follows :-

(2A) Notwithstanding anything contained in sub-rule (1) or sub-rule (2), any sum deducted under section 194-IA shall be paid to the credit of the Central Government within a period of seven thirty days from the end of the month in which the deduction is made and shall be accompanied by a challan-cum-statement in Form No. 26QB.

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Category : Income Tax (20858)
Type : Articles (10773) Featured (3626)
Tags : Section 194IA (36) TDS (786)
  • Debashis Sengupta

    I had paid token amounts in March and April 2016 towards purchase of a flat.The Agreement of sale will be signed in May 2016. Do I have to now deduct TDS for the payment made in march and April? If yes, will there be any interest and /or penalty for late deduction of TDS and submission of Form 26QB?

  • Mathew

    Hi I have the question ,I also paid some amount towards purchase of flat and the registration and the balance amount will be by end of May i need to deduct the TDS for the advance payment or is it ok to deduct teh tds while making the full payment