Buying property from NRI

[Arushbear760]

A

Arushbear760
PARTICIPANT
March 15, 2025 at 8:54 am

We are buying a resale apartment for value 60 lakhs and sale deed we will be showing value as 49 lakhs. NRI person is not willing to pay taxes hence our CA suggested for him to come to India to complete the formalities with indian address and lower the sale deed value to avoid paying any taxes. But as a buyer i am aware that later if any audit happens we will be the first point of contact for income tax department for not deducting TDS. Please let us know if any serious issues would happen with this kind of approach.

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[Monikaguy475]

M

Monikaguy475
PARTICIPANT
March 15, 2025 at 9:19 am

What audit? Lower registration value is beneficial for you as you’ll pay lower stamp duty. Just make sure the registration value is atleast equal to guidance value

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[Arushbear760]

A

Arushbear760
OP
March 15, 2025 at 10:39 am

The seller is an NRI he does not want to comply with the Indian tax but would like to sign sale deed as resident would, will that cause any issues for us.

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[Lavanyabro181]

L

Lavanyabro181
PARTICIPANT
March 16, 2025 at 5:13 pm

The 50L tds limit is for resident only.
TDS (used to be 20%)need to be deducted for NRI irrespective of the sale amount. Please check on this
If not you will have to pay penalty

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