Income Tax: Everyone wants to invest in property. In this, the returns are quite good, even if late. Besides, your investment also remains safe. But, these days people are facing Income Tax Notice on purchasing property. If something similar has happened to you too, then you should know where the mistake happened.
It is very important to link PAN and Aadhar
If you have received income tax notice after purchasing a house or land. So check carefully whether your PAN card and Aadhaar are linked (PAN Aadhaar Link) or not. Also, the PAN card of the person whose property you are buying should also be linked to Aadhaar. If the PAN card of either the buyer or the seller is not linked to his Aadhaar number, then both can get into trouble. Recently more than one crore PAN cards were closed.
How much is the tax
According to income tax rules on purchase and sale of property, 1 percent TDS has to be paid on purchase of property worth Rs 50 lakh or more. However, it can be claimed later. But now the deadline for linking Aadhaar-PAN has passed. In such a situation, people will have to pay 20 percent TDS.
Notices started coming
More than 6 months have passed since the last date for linking Aadhaar-PAN. In such a situation, now the Income Tax Department is sending notices to the people who have purchased property. In these, 20 percent TDS has been demanded from the people. Hundreds of such notices have been issued by the IT department.
More than one crore PAN cards have become inactive
Recently more than one crore PAN cards were deactivated. All of them had not linked their PAN card with Aadhaar. The government had taken this decision to promote the digital economy. Linking of these two cards makes it easier for the government to keep an eye on financial transactions. Therefore, if you are thinking of buying a house or house somewhere in the future, then be a little careful. Be sure to collect information about not only your own but also the PAN and Aadhar card of others.
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