Selling as an NRI: TDS, certificates and the forms around it

I am selling. Who deducts what, which forms are involved, and who files them?

The buyer withholds, not you

On a sale to a resident buyer, the buyer is the person required to deduct tax at source and deposit it. That leaves the buyer choosing between withholding a large sum or holding a certificate that permits a lower rate. The negotiation that matters is not the price — it is who obtains that certificate, and when.

A lower-deduction certificate is the usual answer

An application to the Assessing Officer for a certificate permitting deduction at a lower rate is the standard route where the statutory rate would exceed the actual liability — which it often does on a long-held asset. It takes time, it needs a properly prepared computation, and it has to be in hand before the buyer remits.

Remitting the proceeds needs a certificate too

Moving after-tax proceeds out of India generally requires a chartered accountant's certification of the tax position, filed alongside the bank's own forms. The bank will not release funds on your word, and the accountant will not certify without the deed, the withholding evidence and the computation.

Ask these, in this order

Has the buyer agreed, in writing, who applies for the lower-deduction certificate?
Who is filing the remittance certification, and do they already have the deed and withholding evidence?
When will the buyer issue the TDS certificate, and who checks it against the deposit?
Is my PAN and bank mandate correct on every form, so the credit reaches me and not a namesake?

What this page does not cover

Rates, thresholds, or the computation of your gain
Refund claims, or relief under a tax treaty
Whether a particular certificate will be granted

General information, dated October 2026, not tax or legal advice. Confirm every figure with a chartered accountant before you act.

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