Skip to main content

Property TDS requirement goes online

Invest In Tax Saving Mutual Funds Online

Call 0 94 8300 8300 (India)


There will now be a tax deduction at source (TDS) for transfer of an immovable property. This new provision has come into effect from June 1, 2013 and it is important for every individual to understand the implications of this move and how they would actually be impacted when they go to purchase an immovable property. A look at several of the conditions related to this provision will ensure that there is a proper way in which the details are considered and this will also help in ensuring that the conditions related to the TDS are met and fulfilled.

 

Immovable property


The applicability of the provisions are a significant part of the process and for this purpose it is very clear that the new tax deduction at source will have to be made for immovable property. The term immovable property by itself ensures that various movable property like vehicles and other assets are excluded from the list. This will then broadly include land and house property and which is also an area where a lot of investments are taking place. There is one more specific exclusion present in the process and this is that of agricultural land so while other types of land will be included under the definition the agricultural land would be excluded. The starting point is thus such that only when there is an immovable property then the necessary TDS would have to be undertaken.

 

 Transferee to make TDS

 

The next question that arises in the process is about the responsibility for making the TDS. In this case this has been put squarely on the shoulders of the transferee. This means that the person who will get the ownership of the immovable property would have to fulfill the conditions. The person is the buyer who will actually make the necessary payment to the seller and then take the possession of the property. The buyer would have to make the TDS when the value of the transaction is over Rs 50 lakh so there is a built in provision for the protection of the small individual as they will not be covered. However another angle to the entire situation is that the prices of properties has risen so much in the last few years that even in smaller cities it is not surprising to find that the value of the property crosses the RS 50 lakh mark.

 

 No tax deduction at source number (TAN)

 

Usually complying with the requirements for the tax deduction at source is very complicated and involves a lot of procedures. This involves getting the tax deduction at source number (TAN) which is like a PAN for those who are actually deducting the tax. The tax that has been deducted has to be deposited with in the specified time and then a return has to be filed. In this case there is an online form for making the TDS payment. Details required for the form will include the PAN of both the parties, their addresses along with the address of the property and the amount of the tax. In this case there would be a situation wherein the TDS could be a one time action because there will be people who are not normally covered under these provisions but they have to make the deduction for this purpose. The requirement for TAN has been done away with and even the return filing process has been simplified so this should provide some relief for the individual. However for people who have never done this before it might seem to be a difficult task and they might require some professional help in completion of the process. The rate at which the deduction has to be made is important because this is fixed at 1 percent but if there is no submission of the PAN then this could have to be done at 20 percent. Knowing the details and the fine print is important so that there are no mistakes that are made when it is actually completed.

Happy Investing!!

We can help. Call 0 94 8300 8300 (India)

Leave your comment with mail ID and we will answer them

OR

You can write back to us at PrajnaCapital [at] Gmail [dot] Com

---------------------------------------------

Invest in Tax Saving Mutual Funds ( ELSS Mutual Funds ) to upto Rs 1 lakh and Save tax under Section 80C.

Invest Tax Saving Mutual Funds Online

Tax Saving Mutual Funds Online

These links can be used to Purchase Mutual Funds Online that are regular also (Investment, non-tax saving)

Download Tax Saving Mutual Fund Application Forms from all AMCs

Download Tax Saving Mutual Fund Applications

These Application Forms can be used for buying regular mutual funds also

Some of the best Tax Saving Mutual Funds available ( ELSS Mutual Funds )

  1. ICICI Prudential Tax Plan Invest Online
  2. HDFC TaxSaver Invest Online
  3. DSP BlackRock Tax Saver Fund Invest Online
  4. Reliance Tax Saver (ELSS) Fund Invest Online
  5. Birla Sun Life Tax Relief '96 Invest Online
  6. IDFC Tax Advantage (ELSS) Fund Invest Online
  7. SBI Magnum Tax Gain Scheme 1993 Invest Online
  8. Sundaram Tax Saver Invest Online
  9. Edelweiss ELSS Invest Online

------------------

Best Performing Mutual Funds

    1. Largecap Funds Invest Online
      1. DSP BlackRock Top 100 Fund
      2. ICICI Prudential Focused Blue Chip Fund
      3. Birla Sun Life Front Line Equity Fund
    2. Large and Midcap Funds Invest Online
      1. ICICI Prudential Dynamic Plan
      2. HDFC Top 200 Fund
      3. UTI Dividend Yield Fund
    1. Mid and SmallCap Funds Invest Online
      1. Reliance Equity Opportunities Fund
      2. DSP BlackRock Small & Midcap Fund
      3. Sundaram Select Midcap
      4. IDFC Premier Equity Fund
    1. Small and MicroCap Funds Invest Online
      1. DSP BlackRock MicroCap Fund
    1. Sector Funds Invest Online
      1. Reliance Banking Fund
      2. Reliance Banking Fund
    1. Tax Saver MutualFunds Invest Online
      1. ICICI Prudential Tax Plan
      2. HDFC Taxsaver
      3. DSP BlackRock Tax Saver Fund
      4. Reliance Tax Saver (ELSS) Fund
    2. Gold Mutual Funds Invest Online
      1. Relaince Gold Savings Fund
      2. ICICI Prudential Regular Gold Savings Fund
      3. HDFC Gold Fund

Popular posts from this blog

ICICI Prudential Dynamic Plan Invest Online

Download Tax Saving Mutual Fund Application Forms Invest In Tax Saving Mutual Funds Online Buy Gold Mutual Funds Leave a missed Call on 94 8300 8300   ICICI Prudential Dynamic Plan             Invest Online This fund does remarkably well during falling markets, but fails to show the same prowess during a rising market. The fund sticks to its mandate to adapt to the dynamic nature of the market by shuttling between debt and equity. It takes aggressive asset calls in equity when the market surges by investing in quality mid-cap stocks. At the same time, it adopts a defensive strategy by investing in debt and cash when markets get overvalued, making it a good long-term choice.     For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call     Leave a missed Call on 94 8300 8300   Leave your comment with mail ID and we will ...

Lump Sum or SIP?

Invest Mutual Fund Online     You have a lump sum in hand and you wish to invest in equity funds. However, you have heard a lot of talk about investing in equity funds through Systematic Investment Plans (SIPs) because they help average costs, ensure you do not ill-time the market, and help you invest in small sums, besides giving you many other advantages. So, should you invest the money you have in hand in one go, or let it remain in your bank account and then do an SIP? There is no harm in investing a lump sum amount. For all you know, compounding, over the long term, could work better with lump sum. However, make sure you fulfill all of these three criteria if you want to invest in one go. Else, SIP is the way to go. #1: You invest for the long term According to past data, ideally, if you have a time frame of 12 years or more, you can consider lump sum investing (provided you satisfy the other two conditions that follow). So, what is the sanctity behind 12 years? Is it because only...

Index funds / Exchange Traded Funds

Download Tax Saving Mutual Fund Application Forms Invest In Tax Saving Mutual Funds Online Buy Gold Mutual Funds Leave a missed Call on 94 8300 8300 Index funds / Exchange Traded Funds Index funds are those funds which replicate a particular stock market index like Nifty, Nifty Junior, Sensex etc. The fund's composition is a mirror image of the index. As there is no active management involved and the fund is expected to generate what a particular index is generating, the fund management charges are very low in these funds. Though over a long period of time good active management does play its part, but many times it has been seen that due to wrong calls of fund manager mutual fund returns suffer very badly. It is then we repent paying heavy charges for fund management. So, to diversify fund manager risk one may look at index funds too. Exchange traded funds also come under this category. As they can on...

Mutual Fund Review: Reliance Regular Savings Balanced

Reliance Regular Savings Balanced fund has shown great resilience during market crash After a shaky start, this fund has established itself as a strong contender in this space. In the past three years it has ridden the market well by not only delivering during the market run-ups but also displaying resilience during the crash. In 2008, it witnessed the second lowest fall among its category and last year it was amongst the top three performers with a return of 76 per cent (category average: 61%).   The poor underperformance in 2006 can well be credited to the low equity allocation of the fund, which stood at just over 10 per cent for only four months that year. Though the fund has the leeway to go up to 75 per cent in equity, it has never touched that limit. In fact, it has exceeded 70 per cent in just five months in its entire history. During the crash of 2008, the fund managers had no problem going right down to 54 per cent (equity exposure). Fund managers Omprakash Kukian and A...

Why credit history is critical?

Will you need a loan to buy a car or a house? Do you know why some people get their loans sanctioned quickly without any hassle, whereas others find that their approval is delayed or their application is rejected? If you want a loan, you will need to work to build a solid credit history because this can have a bearing on the ease with which you get loans. Read on to learn more about what is a credit history and how to build a good credit score. What is a credit history? Your credit history is a way of tracking your credit behaviour and habits — basically it shows how disciplined and regular you are when it comes to repaying your dues on loans that you have taken. It will show a complete record of your past borrowing and repayment record including details about any late payments or if you have defaulted on a loan. This track record is readily accessible to lenders and is used by them to when reviewing your loan application. Borrowers who have historically had a bad record of managing...
Related Posts Plugin for WordPress, Blogger...
Invest in Tax Saving Mutual Funds Download Any Applications
Transact Mutual Funds Online Invest Online
Buy Gold Mutual Funds Invest Now