Buying Property from an NRI in India FY 2026–27: Complete Tax, TDS & DTAA Guide

By CA Surekha Ahuja

FY 2026–27 brings major procedural and compliance changes for buyers purchasing property from NRIs in India, including PAN-based TDS simplification from 1 October 2026 and revised compliance forms under the Income Tax Act, 2025.

This guide explains the complete tax, TDS, DTAA, repatriation and compliance framework applicable to property purchases from NRI sellers in India during FY 2026–27.

Key Change in FY 2026–27

1 April 2026 – 30 September 2026

• Buyer generally required to obtain TAN
• TDS governed by Section 393(2)(a)

From 1 October 2026

• PAN-based simplified TDS mechanism introduced
• No TAN requirement in eligible cases
• Section 393(2)(b)

Old vs New Section Mapping

Income Tax Act, 1961	Income Tax Act, 2025	Purpose
Section 194-IA	Section 394	Resident property TDS
Section 195	Section 393(2)	TDS on payments to NRIs
Section 195(8A)	Section 393(2)(b)	PAN-based simplified TDS
Section 206AA	Section 402	Higher TDS for no PAN
Section 197	Section 395	Lower/nil deduction certificate
Form 13	Form 128	Lower/nil TDS application
Form 15CA	Form 145	Foreign remittance declaration
Form 15CB	Form 146	CA remittance certificate
Form 26AS	Form 168	Tax credit statement
Form 16A	Form 131	TDS certificate
Form 27Q	Form 144	NRI TDS return
Section 54	Section 123	Residential reinvestment exemption
Section 54F	Section 124	LTCG reinvestment into residential house
Section 54EC	Section 125	Investment in specified bonds

Correct Tax, TDS & Surcharge Rates – FY 2026–27

Category	Final Tax Rate	Practical TDS Rate*
LTCG (holding ≥24 months)	12.5% + surcharge + 4% cess	12.5% + surcharge + 4% cess
STCG (holding <24 months)	Slab rates	Generally 30% + surcharge + 4% cess

*Subject to lower/nil deduction certificate under Section 395.

Correct Surcharge Position for Property LTCG

LTCG Taxable Under Section 112

Total Income	Applicable Surcharge
₹50 lakh – ₹1 crore	10%
₹1 crore – ₹2 crore	15%
Above ₹2 crore	15% cap continues

Cess: 4% on tax plus surcharge.

Enhanced surcharge rates of 25% and 37% do not apply to LTCG taxable under Section 112. Effective surcharge on such gains remains capped at 15%.

Most Important Rule

In NRI property transactions, TDS is generally deducted on the full sale consideration unless the seller obtains a lower deduction certificate.

Although tax is legally deductible on the sum chargeable to tax, buyers commonly deduct on gross consideration to avoid exposure and litigation risk.

Essential Due Diligence Before Purchase

Before payment or registration, verify:

• Encumbrance Certificate
• Complete title chain
• Mutation records
• Seller PAN
• Passport / OCI / PIO documents
• Tax Residency Certificate (TRC)
• Form 10F in DTAA cases

Maintain:

• Agreements
• TDS records
• Bank trail
• Capital gains computation
• Registration documents

for at least 7 years.

Most Important Tax Planning Tool

Section 395 – Form 128

Lower/Nil TDS Certificate.

Why It Matters

Without Form 128:

• TDS may substantially exceed actual capital gains liability
• Seller refund may remain blocked for months

With Form 128:

• TDS aligns closer to actual taxable gains
• Significant cash-flow relief possible

Best Practice

Apply 45–60 days before registration.

TDS Compliance – Before 1 October 2026

Buyer generally must:

• Obtain TAN through Form 49B
• Deposit TDS through ITNS 281
• File TDS return in Form 144
• Issue TDS certificate in Form 131

TDS Compliance – From 1 October 2026

Simplified PAN-based process expected:

• No TAN requirement in eligible cases
• PAN-based compliance
• Challan-cum-statement mechanism
• Simplified certificate generation

Capital Gains Exemptions – FY 2026–27

New Section	Earlier Section	Benefit	Limit
Section 123	Section 54	Residential reinvestment	₹10 crore
Section 124	Section 54F	LTCG reinvestment into residential house	₹10 crore
Section 125	Section 54EC	NHAI / REC bonds	₹50 lakh

DTAA Position – No Direct TDS Relief

India generally retains taxation rights over immovable property situated in India.

Therefore:

• TDS continues to apply in India
• DTAA usually provides foreign tax credit relief later in country of residence

Repatriation Rules

NRI sellers may generally repatriate:

Up to USD 1 million per financial year

subject to:

• Payment of taxes
• FEMA compliance
• Form 145 / Form 146 compliance
• Banking documentation

Key Compliance Risks

Issue	Consequence
Delay in TDS deduction	Interest liability
Delay in TDS deposit	Interest + penalty
Short deduction	Buyer may be treated as assessee in default
No/invalid PAN	Higher TDS exposure
Incorrect filings	Penalty exposure

Interest under Section 401(1A):

• 1% per month for non-deduction
• 1.5% per month for delayed deposit

Final Takeaways

• PAN verification should happen first
• Form 128 is the single most important tax planning tool
• Post-1 October 2026 transactions are procedurally simpler
• LTCG surcharge on property gains is effectively capped at 15%
• DTAA does not remove Indian TDS
• Maintain complete tax and TDS documentation
• High-value transactions should always be CA-reviewed before payment

Final Practical Strategy

Form 128 filed early + PAN verified upfront + post-1 October 2026 execution (where feasible) = the most efficient structure for buying property from an NRI in India during FY 2026–27.

NRI Property Sales 2026 – Lower TDS Certificate & India-US Investment Advisory

 By CA Surekha S Ahuja

Introduction: The 2026 NRI Property Landscape

As 2026 unfolds, NRIs face a transformed taxation and investment environment for Indian property sales:

• Finance Act 2025: LTCG at 12.5% without indexation, or 20% with indexation for pre-July 2014 properties.

• Section 195 TDS remains a key liquidity issue: buyers must deduct TDS on gross sale proceeds, potentially locking up significant funds.

• US-resident NRIs must consider PFIC taxation, impacting Indian mutual fund investments.

Critical questions for NRIs:

1. Should I obtain a Lower TDS Certificate (Form 13)?

2. How do PAN, Aadhaar, and residential status affect TDS and refunds?

3. Should I reinvest in India or repatriate to the USA?

This guidance note provides a 360-degree roadmap for NRI sellers.

Lower TDS Certificate (Form 13) – Strategic Cash Flow Management

Why Form 13 Matters

• Buyers deduct TDS on total sale value without a certificate.

• With Form 13, TDS is restricted to actual capital gains, often much lower than gross sale value.

• Protects liquidity and blocked capital, especially for high-value sales.

Decision Matrix – When to Apply Form 13

Scenario	Standard TDS (No Certificate)	Form 13 – Lower TDS Certificate	Recommendation
High-cost property, small gain	TDS ~20–24% of total sale	TDS only on gains (0–12.5%)	No-brainer – Apply Form 13
Reinvestment under Sec 54/54EC	Funds blocked 12–18 months	TDS can be reduced to 0%	Apply Form 13
Pre-2014 property	Buyer deducts 20% on gross	AO applies lower of 12.5%/20% with indexation	Apply Form 13
Urgent sale / time-critical	Delays certificate issuance	2–4 weeks wait	Consider skip and claim refund later
Small-ticket sales (<₹25L)	TDS impact low	Certificate cost may exceed blocked interest	Skip if minimal financial impact

New TDS Rates for NRI Property Sales (2026)

Gain Type	Sale Value	Base Rate	Surcharge	Cess	Effective TDS
LTCG	≤₹50L	20%	Nil	4%	20.8%
LTCG	₹50L–₹1Cr	20%	10%	4%	22.88%
LTCG	>₹1Cr	20%	15%	4%	23.92%
STCG	Any	30%	10–15%	4%	31.2–35.88%

Key insight: Form 13 reduces TDS from gross sale value to actual gains, releasing trapped capital immediately.

PAN, Aadhaar & Residential Status – Compliance Imperatives

• PAN: Mandatory; absence triggers Section 206AA, higher TDS

• Aadhaar: Optional but speeds up Form 13 issuance and refunds

• Residential Status: NRIs and RNORs fall under Section 195, not 194-IA

Implications: Proper documentation ensures minimal blocked funds, faster refunds, and smoother repatriation.

Buyer-Facing Compliance Advisory

• Verify seller PAN and documentation

• Request Form 13 for high-value/complex sales

• Collect proof for Sec 54/54EC reinvestments

• Ensure AO applies pre-2014 indexation benefits

• Monitor TDS compliance and timelines

Consequences of non-compliance: penalties, delays, or buyer liability issues.

Repatriation & US-NRI PFIC Advisory

FEMA-Compliant Repatriation

• Limit: USD 1 million per financial year from NRO account

• Requires Forms 15CA & 15CB

• Excess TDS cannot be repatriated until refund is processed

US-NRI Considerations

• Indian Mutual Funds = PFICs, subject to punitive US taxation

• Prefer Direct Equities, PMS, or AIFs

• Plan globally: minimize PFIC exposure, optimize liquidity, and align with US tax rules

India vs. USA – Investment Verdict

Factor	India (Growth)	USA (Safety)
Economy	Fastest-growing large economy	Stable S&P 500, predictable returns
Currency	INR resilient	USD strong (₹90+), hedge volatility
Tax	Complex TDS + ITR	Simpler US tax compliance
Investment	Direct equity, PMS, AIF, commercial real estate	US ETFs, retirement funds

Strategic Recommendation:

• Aggressive (<50, Indian tax resident): Retain proceeds in India; invest in direct equity or commercial property

• Conservative / US-tax resident: Use Form 13, repatriate under FEMA, invest in US-based instruments, avoid PFICs

Common Myths – Debunked

Myth	Reality
TDS = 1%	Only for residents (194-IA). NRIs under 195 = 20–24%
TDS is final tax	Must file ITR to claim refund / pay balance
Repatriation is immediate	Excess TDS waits for refund cycle; USD 1M/year cap
Indian Mutual Funds safe	PFIC rules apply; punitive US tax

Actionable NRI Seller Plan (2026)

1. Confirm residential status, PAN, Aadhaar

2. Compute capital gains (LTCG/STCG)

3. Decide reinvestment vs. exit

4. Apply Form 13 if blocked funds > 15–20% of gains

5. Ensure buyer TDS compliance

6. Plan FEMA-compliant repatriation (USD 1M limit)

7. For US-residents, avoid PFIC exposure; prefer direct equity/US ETFs

Principle: Cash flow, liquidity, and compliance are as critical as tax optimization. Form 13 is a strategic liquidity tool, not just a compliance form.

Final Takeaway

In 2026, NRI property sales require:

• Strategic use of Form 13 to release blocked capital

• PAN/Aadhaar and residential compliance

• Informed decisions on reinvestment vs repatriation

• Awareness of US-PFIC implications for cross-border investors

Proper planning ensures your wealth works for you, not the tax authorities.

 

TDS Credit Denial to NRIs Due to Buyer’s Procedural Error: A Judicial Lifeline and Compliance Blueprint

A Professional Guidance Note for NRIs Selling Property in India

I. Executive Summary

A recent judgment by the Delhi High Court in [NRI v. Union of India & Ors., 2025] has redefined how the Indian tax system must balance procedural compliance with substantive justice. An NRI seller faced a ₹46 lakh tax demand because the resident buyer wrongly deposited 20% TDS in Form 26QB—meant for residents—instead of Form 27Q, applicable for non-resident transactions under Section 195. This error led to denial of TDS credit in the NRI’s AIS and ITR, triggering tax, penalty, and repatriation complications. The Court, however, ruled in favour of the NRI, directing the Revenue to rectify the credit and process refund.

This case holds critical compliance lessons and legal implications for NRIs, resident property buyers, and tax professionals.

II. Legal Framework

1. Section 195 – TDS on Payments to Non-Residents

“Any person responsible for paying to a non-resident... shall, at the time of payment, deduct income-tax thereon at the rates in force.”
— Section 195, Income-tax Act, 1961

• Applicability: Any sum (excluding salaries) paid to an NRI taxable under the Act.

• TDS Rate: 20% on capital gains from property (plus surcharge and cess).

• TAN Requirement: Mandatory for buyer to deduct and deposit TDS under Section 195.

2. Section 199 – Credit of TDS

“Any deduction made in accordance with... Chapter XVII shall be treated as a payment of tax on behalf of the person from whose income the deduction was made.”

• Credit is linked to PAN and Form 26AS/AIS.

• Procedural lapses should not override this statutory entitlement.

3. Form 26QB vs 27Q – The Core Error

Particulars	Form 26QB	Form 27Q
Section Applicable	194-IA	195
Buyer Type	Resident	Resident
Seller Type	Resident	Non-Resident (NRI)
TDS Rate	1%	20% (plus surcharge & cess)
TAN Required	Not Required	Mandatory
TDS Certificate	Form 16B	Form 16A

III. The Landmark Case: Facts & Chronology

Case Citation:

[NRI v. Union of India & Ors., Delhi High Court, W.P. (C) 5216/2025, Decided on May 27, 2025]

Summary Timeline:

Date	Event
1998	NRI (USA-based) bought a Pune property
2015	Agreed to sell for ₹2 crore; buyer deducted 20% TDS (~₹18.68 lakh)
Oct 2015	NRI paid advance tax ₹1.91 lakh and repatriated balance
Mar 2023	Notice under Section 148 issued alleging income escaped assessment
Mar 2025	Assessment order demanded ₹46 lakh tax; penalty u/s 270A initiated
Mar 2025	NRI explained TDS deposited under wrong form (26QB instead of 27Q)
May 2025	Delhi HC ordered correction and refund based on tax paid and law

IV. Key Issues & Legal Interpretation

🔸 1. Substance Over Form

• TDS @20% was deducted and deposited with the government.

• Mistake: Deposit was done in Form 26QB (meant for residents).

• Held: Revenue suffered no loss. Tax liability was discharged.

“A buyer’s procedural error cannot prejudice a compliant NRI seller.”
— Delhi HC, May 2025

🔸 2. Judicial View on SOP vs Statutory Rights

• SOP required buyer’s indemnity and consent to correct the form.

• Court held: Administrative SOP cannot override taxpayer’s statutory right to TDS credit under Section 199.

🔸 3. AIS/26AS Not Reflecting Credit

• Since Form 26QB did not link the TDS to the NRI’s PAN, credit did not reflect.

• The I-T system’s rigidity led to tax demand and penalty—even though funds were with the government.

V. Compliance Advisory for NRIs and Resident Buyers

✅ NRI Seller Compliance Checklist

Action	Why It Matters
Inform buyer you are an NRI	Ensures correct section (195) and form (27Q)
Verify TAN availability	Form 27Q requires TAN—not just PAN
Insist on Form 27Q and Form 16A	Critical for TDS credit in AIS/26AS
Monitor Form 26AS & AIS	Ensure timely credit before ITR filing
File ITR within timeline	Claim TDS credit or refund correctly
Document everything	Avoid disputes in case of future litigation

 Resident Buyer Responsibilities

Task	Risk of Non-Compliance
Deduct TDS @20% + cess under Sec 195	Short deduction leads to penalty
Use TAN & file Form 27Q	Filing 26QB for NRI seller is invalid
Issue Form 16A to seller	Proof of TDS deduction and deposit
Correct any filing errors swiftly	Errors in form type can delay seller’s refund for years
Cooperate in form correction	Courts may compel you to assist if NRI moves legal route

VI. Consequences of Procedural Error

Error	Outcome
Filing 26QB instead of 27Q	TDS doesn’t reflect under NRI PAN
AIS and 26AS mismatch	TDS credit cannot be claimed in ITR
Tax demand under Sec 148	Treated as income escaping assessment
Penalty under Sec 270A	Misreporting of income risk
Delay in refund	Even years after TDS deposited

VII. High Court Decision – Summary of Directions

“Revenue is directed to correct the record and reflect the TDS deposited by the buyers to the petitioner’s credit under the return filed in the Form 26QB with effect from the date, the amount was deposited... compute the amount of refund due... All contrary orders stand set aside.”
— Delhi High Court, May 2025

This ruling upholds:

• Taxpayer’s right to credit under Section 199

• Doctrine of fairness and absence of statutory bar on rectification

• Responsibility of the Revenue to uphold substance over procedure

VIII. Future Compliance & Policy Suggestions

• CBDT Clarification Needed: Permit retrospective mapping of Form 26QB to NRI PAN if TDS is deposited with valid PAN.

• Amendment to TRACES & AIS: Allow automatic re-mapping on submission of affidavit + challan copy.

• TDS Correction Portal: Create an interface for correction of form type errors with NRI consent and buyer indemnity.

IX. Conclusion: Legal & Practical Compass for NRIs

This case sets a precedent in tax administration — affirming that technical lapses should not block legitimate TDS credit, especially when tax is fully deducted and paid. It’s a wake-up call for NRIs and buyers to move beyond mere paperwork and enforce legal clarity at the transaction stage.

“In tax, as in law, intent and evidence must triumph over form.”

By internalizing these lessons and setting clear protocols, NRIs can protect themselves from litigation, wrongful tax demands, and financial stress — while the tax ecosystem moves closer to fair, transparent enforcement.

Understanding TDS on Payments to Non-Resident Indians (NRIs) for AY 2024-25

Navigating the rules for Tax Deducted at Source (TDS) on payments to Non-Resident Indians (NRIs) can be intricate. This comprehensive guide covers the essentials of TDS under Section 195, including payment procedures to the government, TDS returns, and provisions for lower or nil deduction of TDS.

1. TDS on Payments to NRI (Section 195)

Section 195 of the Income Tax Act, 1961, outlines the requirements for TDS on payments to NRIs. Here’s a detailed breakdown:

Key Points:

• Who Must Deduct TDS?

  • Any person (Resident or Non-Resident) liable to pay any sum to NRIs.
  • Payer: Resident or Non-Resident Indian.
  • Payee: Non-Resident Indian (Individuals) or Foreign Companies.

• Types of Payments:

  • All payments to NRIs except salaries (TDS u/s 192) and certain interest payments (TDS u/s 194LB, 194LC, and 194LD).

• When to Deduct TDS?

  • At the time of credit to the NRI's account or payment, whichever is earlier.

• Threshold Limit:

  • No threshold limit. TDS must be deducted if the NRI's income is taxable in India.

TDS Rates on Different Payments:

Nature of Payment	Rate of TDS
Dividend	20%
Short Term Capital Gains u/s 111A	15%
Short Term Capital Gains other than 111A	30%
Long Term Capital Gains u/s 112A (exceeding ₹1L)	10%
Long Term Capital Gains (other than 112A)	10%
Long Term Capital Gains on Sale of Property	20%
Other Income	Normal Slab Rates
House Property Rent	30%

Note: Education cess (4%) and surcharge apply based on income thresholds:

Income Threshold	Surcharge Rate
Up to ₹50 Lakhs	Nil
₹50 Lakhs to ₹1 Crore	10%
₹1 Crore to ₹2 Crores	15%
₹2 Crores to ₹5 Crores	25%
Above ₹5 Crores	37%

2. TDS on Sale of Property by NRIs (Section 194-IA)

Form 26QB is used for TDS on the sale of property.

TDS Rates for Property Sale:

Sale Value	Long Term Capital Gain Tax	Surcharge	Total Tax	Health & Ed. Cess	Applicable TDS Rates
< ₹50 Lakhs	20%	Nil	20%	4%	20.8%
₹50 Lakhs - ₹1 Crore	20%	10%	22%	4%	22.88%
₹1 Crore - ₹2 Crores	20%	15%	23%	4%	23.92%
₹2 Crores - ₹5 Crores	20%	25%	25%	4%	26%
> ₹5 Crores	20%	37%	27.4%	4%	28.496%

3. TDS Payments to Government and TDS Returns

3.1. TDS Payment:

• TDS deducted on payments to NRIs must be paid to the government within 7 days from the end of the month in which the tax is deducted.
• Example: If TDS is deducted on May 14, it must be paid by June 7.

3.2. TDS Returns:

• TDS returns for payments to NRIs must be filed using Form 27Q. It needs to be filed quarterly:
  • April to June: July 31
  • July to September: October 31
  • October to December: January 31
  • January to March: May 31

Note: Form 26QB and Form 26QC cannot be filed if the payee is a Non-Resident.

3.3. Form 16A:

• Form 16A is the TDS certificate issued by the deductor to the deductee for tax deducted and deposited under Section 195. It should be issued within 15 days from the date of filing.

4. Lower Deduction / NIL Deduction of TDS

NRIs can apply for lower or nil deduction of TDS using Form 13. Here’s how:

• Application: Submit Form 13 to the assessing officer.
• Approval: If approved, the certificate specifies the lower or nil rate of TDS.
• Validity: The certificate is valid for the period specified.

By understanding these guidelines, you can ensure compliance with TDS requirements for payments to NRIs and avoid potential tax issues.

How NRIs Can Reduce TDS on Property Sales with Income Tax Form 13 (Section 197)

Navigating the world of taxation, especially for Non-Resident Indians (NRIs) involved in property sales, can be overwhelming. However, understanding the intricacies of Tax Deducted at Source (TDS) can lead to significant benefits. In this article, we will delve into the applicability of TDS on property sales by NRIs and explore the remarkable advantages of Income Tax Form 13 (Section 197) in reducing TDS deductions. Get ready to unlock the secrets to maximizing your returns in property transactions!

I. Applicability of TDS on Sale of Property by NRI: Unraveling the complexities, it's important to note that TDS deductions are a crucial component of property transactions for NRIs. The buyer holds the responsibility of deducting the TDS amount and depositing it with the Income Tax Department. The specific amount to be deducted depends on the residential status of the seller.

II. Understanding the Rate of TDS on Sale of Property by NRI: Unlocking the potential returns, let's delve into the rates of TDS on property sales. For long-term capital gains, the TDS rate is fixed at 20%. However, for short-term capital gains, the TDS amount is calculated based on the income tax slab rates of the seller. It's important to remember that additional surcharges and cess may also be levied on the TDS amount.

III. Amount on Which TDS is Required to be Deducted: Enhancing your financial outcomes, accurately computing capital gains becomes paramount. Sellers can file Form 13 with the Income Tax Department to obtain a certificate for Nil/Lower deduction of TDS. This certificate serves as a powerful tool to significantly reduce the TDS liability, ensuring more favorable returns.

IV. TDS Payment, TDS Return & TAN No.: Simplifying the process, understanding the intricacies of TDS payment is essential. Buyers must possess a Tax Deduction and Collection Account Number (TAN No.) to facilitate the smooth deduction process. Prompt deposit of the TDS amount within 7 days from the end of the month, coupled with the timely filing of the TDS Return (Form 27Q) within 31 days from the end of the quarter, is crucial. Additionally, providing Form 16A as proof of TDS deduction to the seller ensures transparency and smooth transactions.

V. Determining the Seller's Residential Status: Gaining clarity, determining the residential status of the seller plays a pivotal role. The number of days spent in India is the primary factor influencing this status. Factors such as citizenship, bank account type, Aadhaar Card, and PAN Card do not affect the residential status.

VI. Key Considerations for the Seller and Buyer: Empowering both sellers and buyers, let's uncover the key considerations for a successful property transaction. Sellers should diligently obtain a certificate for lower TDS deduction, submit relevant documents with Form 13 to ensure accurate capital gains computation, and collect Form 16A from the buyer. Exploring avenues to reinvest capital gains in India can significantly reduce TDS and tax liabilities. For buyers, ensuring timely TDS deduction with each payment, prompt deposit of TDS with the Income Tax Department, and issuing Form 16A to the seller are paramount to avoiding penalties.

VII. Avoiding Double Taxation on Property Sales by NRI Sellers: Unleashing the potential for increased returns, double taxation can be minimized through India's Double Taxation Avoidance Agreements with various countries. This allows taxes paid in India to be claimed as a tax credit in the seller's home country, with proper disclosures in the respective tax jurisdictions.

VIII. Repatriation of Money Outside India by NRI: Paving the way for global financial mobility, NRIs desiring to repatriate money outside India must comply with certain requirements. Submitting Form 15CA and Form 15CB to their bank is essential. While Form 15CA can be generated by the NRI or a Chartered Accountant, Form 15CB can only be generated by a Chartered Accountant. These forms mandate disclosing various details, including the source of funds.

IX. Reduce your TDS Liability with Income Tax Form 13: Unlocking the gateway to optimized returns, NRIs can substantially reduce their TDS liability by leveraging Income Tax Form 13. Filing an application for Nil/Lower Deduction of TDS can significantly minimize the TDS liability, ensuring more favorable financial outcomes. Engaging the expertise of a Chartered Accountant is highly recommended for a seamless and efficient application process.

X. Income Tax Form 13 for Lower Deduction of TDS (Section 197): Empowering individuals with greater control, Section 197 offers a path to apply for a certificate of Nil/Lower deduction of TDS. By utilizing Form 13, applicants can pave the way for reduced TDS deductions. This certificate is issued online and must be submitted to the deductor. In certain cases involving interest payments, Form 15G/Form 15H may be required.

Conclusion: Unraveling the mysteries of TDS on property sales by NRIs not only ensures compliance with tax regulations but also maximizes returns on your investments. Harnessing the power of Income Tax Form 13 (Section 197) to obtain a certificate for Nil/Lower deduction of TDS sets the stage for favorable financial outcomes. Remember to seek professional advice, stay informed about the latest regulations, and maintain meticulous documentation to embark on a successful and rewarding property sale journey. Unlock the potential for increased returns today.