Skip to content

TDS on payment against Joint Development Agreements

TDS on payment against Joint Development Agreements

 

CLAUSE(S) OF FINANCE BILL, 2017 

 PARTICUL ARS OF AMENDME NTS SECTION AMENDMENT / NEWLY
INSERTED		 APPLICABLE
W.E.F. 		 BRIEF OF AMENDMENT 
64 TDS on payment against Joint Development Agreements 194 – IC New Insertion 1/4/2018 TDS @ 10% is required to be deducted by developer on
amount of money credited or paid by developer to
resident in cash or cheque or ECS in lieu of Joint
Development Agreement.

(Author’s Note:- There is disparity on TDS deduction and TDS claimed by the assessee. Generally JDA are made on some advance payment basis and developer need to deduct TDS on the same, however according to section 45(5A) it will be the income of the owner after
one or two years, which leads to mismatch of TDS
deduction and claimable. In such department can initiate action against 143(1)(a) and prepare intimation on the basis of entry in our 26AS.)
Budget 2017 | Adreeja Kaur |

Leave a Reply