Budget 2022: The TDS rule related to the transaction of non-agricultural immovable property has also been changed in the budget. According to the new rule, now the higher of the sale price or stamp duty value on transactions of non-agricultural property valued more than Rs 50 lakh, will be considered as basis for 1 percent TDS. .
New Delhi: Budget 2022: Union Finance Minister Nirmala Sitharaman presented the Union Budget 2022-23 on 1 February. Many big announcements were made in this budget. The TDS rule related to the transaction of non-agricultural immovable property has also been changed in the budget. According to the new rule, now the higher of the sale price or stamp duty value on transactions of non-agricultural property valued more than Rs 50 lakh, will be considered as basis for 1 percent TDS. . That is, now the pockets of home buyers are going to loosen.
Will be effective from 1st April 2022
Now according to the new rule, the Income Tax Act will be amended for this. Let us tell you that this change will be effective from April 1 this year i.e. from the new financial year. After the change in this rule, if the stamp duty in the transaction for a property is 50 lakhs or more and even if the value of the transaction is less than 50 lakhs, then 1 percent TDS will have to be paid.
Aadhar is the property value for TDS
It is worth noting that till now there is a rule to pay 1 percent TDS on the transaction of non-agricultural property value more than Rs 50 lakh and for this 1 percent TDS, the value of the property is considered as the basis. Let us tell you that this rule of TDS is applicable only on transactions of value more than Rs 50 lakh.
Tax evasion will stop
Actually, the government has made this announcement to prevent tax evasion in property transactions. After this announcement, now the person buying the property will have to deduct 1 per cent TDS while making the payment to the seller. That is, overall this change will be very effective in preventing tax evasion.
Investment experts say this will help curb tax evasion by changing the TDS norms on the sale of immovable property. Actually, it will appear in Form 26AS of both buyers and sellers. If there is any mismatch, then the Income Tax Department can trace the culprit in such a case. That is, it will also prove to be a better decision for the common people.
