In our first part, we already discussed TDS on sale of property by resident u/s 194IA @1%. through this blog we will enhance our understanding on the tax to be deducted by Non-Resident seller. When a NRI makes a sale of property in India the buyer is required to deduct TDS under section 195 of the Income Tax Act 1961. The rate of the tax deduction is not fixed at 1% unlike section 194IA in this case. Rather, it would depend upon the nature of capital gains arising out ofSEE DETAILS

From 1st June 2013 through section 194IA of Income Tax Act a provision was rolled out by Mr. P Chidambaram to deduct 1% TDS on sale of the property to a resident Indian. The property here includes every immovable property like House Property Commercial Property Plot or unconstructed land And all such other properties except agricultural land. To the relief of citizens, TDS needs to be done only on the transactions where sale proceeds are of ₹ 50,00,000 (Fifty Lakhs) or more.   When and how much shall be theSEE DETAILS

CII or Cost Inflation Index refers to the numbers issued by the Income Tax Department in each year’s budget depicting the level of inflation for the relevant Financial Year. These indexes are of high importance due to change in the value of assets which were purchased in previous years but sold now. Say, we purchased a house for Rs 20,00,000 and we are selling it today for 30,00,000. So, our profit, in this case, is Rs 10,00,000. But, don’t you find it a bit inappropriate because due to the highlySEE DETAILS

We hear a lot around us about Income Tax, Income Tax Return, Income Tax Department and so on. But have you ever given it a pause and thought form where this cycle starts?? Well, we’ll tell you, all this starts with the termIncome!! Yes, if there is no income there won’t ever be any income tax or ITR or compliances under the Income Tax Act. Now let us understand what is income. Income is anything and everything a person earns. You might be getting your income as salary for doingSEE DETAILS