Chartered Accountant · ICAI M.No. 153926 · FRN 136869W
The buyer is the deductor
To do it properly the buyer must hold a TAN, deduct before paying you, deposit the tax by challan, file Form 27Q (Form 144 from 1 April 2026) each quarter, and issue you Form 16A (Form 131 from 1 April 2026) as proof. Most resident buyers have never done this, so they often need guidance.
Why it's still your problem
If the buyer under-deducts, over-deducts, or doesn’t file Form 27Q, the TDS won’t show in your Form 26AS (Form 168 from tax year 2026-27) — and then your refund gets stuck. It’s worth walking the buyer through it, or having a CA handle the deduction paperwork.
The clean way to do it
Apply for a lower TDS certificate under Section 197 first — the buyer then deducts one clear, lower amount, and there’s far less to reconcile or claim back. Our NRI property sale & repatriation service manages the whole deduction process.