Form 16B: Certificate of TDS on Sale of Property

Author
By teamquicko on March 27, 2020

What is Form 16B?

It is similar to form 16/ 16A issued by the employer/ deductor to employees/ deductees. But Form 16B is issued by the buyer showing details of tax deducted and deposited on property consideration paid to seller of property.

Form 16B is issued within 15 days from the date of furnishing Form 26QB

What details are present in Form 16B?

Following are the details present in Form 16B:

  • Certificate Number,
  • Name, PAN and Address of Buyer and Seller,
  • Financial Year,
  • Summary of Transactions
  • Details of tax deposited
Form 16B

How to download Form 16B?

Once form 26QB is processed, buyer can download Form 16B from TRACES.

  • Click on ‘Login’ button and select ‘Taxpayer’,
  • If you are not registered on TRACES then  click on ‘Register as New User’ and finish the registration process,
  • After you login to your account, go to downloads and click on Form 16B,
  • Add details like Assessment Year, Acknowledgement Number of Form 26QB, PAN of Seller and click on proceed.  
  • Click on ‘submit request’ to submit request for download of Form 16B. Confirmation of the request will also be shown upon successful submission.
  • Go to downloads after 24 to 48 hours of request submission and click on ‘Request Downloads’ to track request status. Once status changes to Available click on ‘HTTP Download’ to  download Form 16B zip file.

FAQs

1. What is a TDS Certificate?

Every person Deducting Tax at Source (TDS) is required as per Section 203 to issue a certificate to the payee (a person to whom money is paid or is to be paid) to the effect that tax has been deducted along with certain other particulars. This certificate is usually called the TDS certificate.

2. What is Form 16 and Form 16A?

The Form 16A is a TDS Certificate certifying the amount of TDS, Nature of Payments and the TDS Payments deposited with the Income Tax Department. Form 16 A is issued when payments are non-Salary. TDS Professional fees, Rent, Bank Interest payments are accompanied by a Form 16A.

3. Where is TDS applicable?

TDS is applicable on the various incomes received such as salaries, interest received etc. which is deducted when income is generated rather than at later date. The person who is making the payment is responsible for deducting the tax and depositing the same with government. TDS stands for Tax Deducted at Source.