Short deduction of TDS in case of Purchase of Immovable Property

[Surbhi_Pal]

Hey @garg.pulkit131,

Here’s are 2 threads where this issue has been discussed in detail. Let us know if you still have doubts.

TDS processed with defaults u/s 200A

Hello Folks, I and my wife recently purchased a property in Noida worth 1.05cr. I paid 1% TDS accordingly. After paying TDS we got the defaults notice u/s 200A. We were shocked to see the short deduction amount. After downloading the justification report from traces, we learned that seller PAN was inoperative. Means he didn’t link PAN with Aadhar. It was not our fault in any way. Any way we got his PAN and Aadhar linked and raised Correction request in TRACES. But we again got defaults u/s 154 …

Form 26QB: TDS default u/s 200A due to inoperative PAN

Many homebuyers are receiving notices to pay 19% TDS due to the seller’s PAN being inoperative. But Why? So, it all starts from the buyer of a property filing form 26QB and depositing the TDS in the seller’s name. What is Form 26QB? Form 26QB is a return-cum-challan form used for paying TDS to the government. If you are the buyer of a property, you will deduct a 1% TDS from the total amount to be paid to the seller, and deposit this TDS by filing form 26QB. This TDS will be reflected in the …