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TDS for NRI Seller – Complete Property Sale Tax Guide in India

TDS for NRI Seller – Complete Property Sale Tax Guide in India
When purchasing property from an NRI seller, TDS under Section 195 of the Income Tax Act must be deducted. Key Steps: 1. Buyer must obtain TAN. 2. File Challan 281 online. 3. Select Nature of Payment – Other Sums Payable to Non-Resident (195). 4. Calculate TDS (20% + surcharge + cess depending on value). 5. Deposit tax and issue Form 16A to seller. TDS Rates: • Property below ₹1 crore – approx. 20.6% • Property above ₹1 crore – approx. 22%+ (including surcharge & cess) Important: • TDS is on total sale value, not capital gain. • Lower deduction certificate may reduce rate. • Non-compliance leads to heavy penalty for buyer. Proper tax compliance protects both buyer and seller from future legal complications. How Gruha Realty Empowers You Gruha Realty ensures transparency, structured documentation, legal coordination, and smooth execution across every stage of the real estate journey. Contact Gruha Realty Gruha Realty Sri Raghavendra Nilaya, #3, First Main, Opp. Konankunte Cross Police Station, New Bank Colony, Konankunte, Bangalore - 560062 Phone: 9113237675 Email: sales@gruharealty.in Website: www.gruharealty.in

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