With effect from 1st June 2013, a new section 194-IA in the Income-tax Act relating to payment on transfer of certain immovable property other than agricultural land, will come into force.
Any person, being a transferee, responsible for paying (other than the person referred to in section 194LA) to a resident transferor any sum by way of consideration for transfer of any immovable property (other than agricultural land) shall deduct an amount equal to one per cent (1%) of such sum as income-tax at the time of credit of such sum to the account of the transferor or at the time of payment of such sum in cash or by issue of cheque or draft or by any other mode, whichever is earlier.
No deduction shall be made where consideration for the transfer of an immovable property is less than fifty lakh rupees.
The Challan cum Statement of Deduction of Tax is in Form 26QB as reproduced below. You can download the same by clicking here.
