Pay TDS on property online

The e-payment facility for TDS on property involves a hassle-free process that allows you to pay the necessary amount from your bank account. However, to use this facility, you should have the net banking feature activated on your account. The account should also be associated with authorised banks as mentioned in the official website of NSDL-TIN.

Steps to pay TDS on property online

Follow the below steps to pay TDS on your property online.

Step 1: Fill form 26QB online

  • Before depositing the payment fill form 26QB, available on the NSDL-TIN website
  • The form is similar to the form available to pay Tax Deducted at Source from income tax on sale of land
  • Provide details such as PAN, addresses of buyer and seller, property address property, date of sale agreement, and property value

Step 2: Confirm the e-payment

  • Upon confirmation, the TDS amount will be deducted electronically from your bank
  • You can schedule the payment for a later date
  • Receive a 9-digit alpha-numeric acknowledgement number upon payment confirmation
  • Obtain a challan with a unique CIN and payment and bank details

Step 3: Download form 16B

  • As a seller, download form 16B from the official website of Centralised Processing Cell of TDS
  • The buyer must submit the certificate of TDS to you (seller) within 15 days from the due date of submission mentioned on the challan

Follow the above-mentioned steps, to pay TDS on property online. After receiving the certificate of Tax Deducted at Source, you, as a seller, will be eligible to claim credit for TDS on a property purchase above Rs. 50 lakh against tax liability after submission.

As a seller, you can also claim TDS rebates on your residential property when you file your income tax returns. Moreover, if your property was acquired before 1 June 2013, you will not have to file Form 26QB while paying Tax Deducted at Source when selling it.

Additional read: What is property tax?