Everything You Need To Know About The TDS On Property

If you are an owner of one or more properties in India, then you are supposed to pay the TDS amount to the Indian government. The previously deducted tax amount is a type of income tax payable for all the property holders and some individuals in the country. Here are some of the basic information about the TDS on property in Dwarka:

What is TDS? What does it stand for?

TDS is one of the kinds of tax that is deducted as part of the income tax. It stands for Tax Deducted at Source. It is payable by every salary achiever and is deducted previously before payment of the salary. TDS is deducted for various payments made by the taxpayer in different situations such as rent payments, salary received, interests, etc. The taxpayer can thus take credit for paying TDS beforehand with every payment they make and the salary they receive.

The TDS payment is done at the government portal by using one of the Challan ITNS-281 available for the different taxpayers. You can also make these payments online with ease.

Who has to pay TDS on the property?

Every person or the owner of a property who has a net worth of 50,000 Rs. per month is liable to pay Tax Deducted at Source to the government. The individuals who are liable to have an audit done for their business, also have to pay a TDS of 5% to the government.

For example, if you are going to pay rent of a space you are letting from the building's owner for any purpose, say office space, then you are allowed to pay the rent amount after deducting TDS on property in Dwarka as well. In this situation, the gross amount you are to pay to the owner will be deducted directly as per the TDS interest, which is 10%. So, if the rent is Rs. 50,000 then the building owner will pay a TDS interest of Rs.5,000 to the government. Also, the owner can take the credit of the TDS amount in the gross rate of the building.

What is the time limit to pay TDS to the government?

Generally, the 7th of every month after which the TDS is to be deducted is considered as the time limit for the individual and business owners to pay it. But some special extensions are provided for certain situations. like for the month of March, all the TDS amount can be paid by the date of 30th April. Also, for the TDS deducted for rent and purchase of property, the time limit off TDS payment is set to be the 30th day from the last day of the month the TDS amount is paid.

What are the TDS Returns and who can file for them?

If your tax payment income is low than the required set amount by the Income Tax Act and your employer or your bank has already deducted the TDS amount, then you can file for a TDS return.

These are some of the basic information that will be essential for you if you are also liable to pay TDS on property in Dwarka.