TDS on property transaction

I sold an apartment (purchased in 1993 )for Rs 68 Lakhs on 13/02/2013 and have invested the entire amount in a new apartment under construction.The UDS value of the new party is Rs 16,84,192/- and the construction cost is Rs 1,06,40,058/-.The sale agreement and builders agreement were dated 19/03/2013 and the UDS was registered on 14/04/2013.The new property is still under construction and is expected to be handed over by June 2015.

Kindly inform the implication of TDS on these transactions.Who has to pay TDS and how.I have not paid any TDS so far.

asked Jul 15 '14 at 12:57 by Jothi 6117


As flat was sold in FY 2012-13, tax on capital gains needed to be paid before 31st March 2013.

As possession of new flat is not been taken before 31st July, 2013 and capital gains account have not been opened, assessing officer may deny tax benefit us/ 54.

Now tax for capital gains have to paid with late payment penalty.

answered Jul 15 '14 at 15:39 by Pankaj Batra 5.2k320

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Dear Pankaj I have booked the new flat on 14/02/2013 and I had paid an amount of Rs 66.5 Lakhs before 20/02/2013 which is more than the capital gains. Under the circumstances is opening capital gains account necessary? Since I have invested more than the capital gains before 31/03/2014 I did not open the capital gains account.I hope it is in order,
(Jul 15 '14 at 17:49) Jothi
As possession of new property was not taken before last date of return filing, opening a capital gain account was mandatory in order to avail tax benefits u/s 54.
(Jul 15 '14 at 17:52) Pankaj Batra

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Asked: Jul 15 '14 at 12:57

Seen: 1,432 times

Last updated: Jul 15 '14 at 17:52