1. Form 16B for Sale of Property:

• This form is a certificate issued by the buyer of immovable property to the seller, certifying the deduction and deposit of Tax Deducted at Source (TDS) on the sale transaction.
• It’s primarily used when the property sale value exceeds Rs. 50 lakhs and the buyer is liable to deduct TDS as per section 194-I of the Income Tax Act.
• The form provides details like:
  • Deductor and Deductee name and address
  • PAN numbers of both parties
  • Assessment year
  • Payment acknowledgement number
  • Amount paid/credited
  • Verification information
• The buyer can download and generate Form 16B through the TRACES (Tax Return Filing System) portal after registering as a taxpayer.

2. Form 16B for Additional Deduction of Tax (ADT):

• This is a much older form, no longer in use for current tax assessment years.
• It was previously used by employers to provide details of additional tax deducted from salary income exceeding a certain threshold, under section 16(c) of the Income Tax Act.
• With the introduction of revised tax slabs and income thresholds, Form 16B for ADT has been replaced by the regular Form 16 used for salary TDS reporting.

Therefore, when referring to “TDS Certificate Form No. 16B,” it’s important to clarify which context you’re referring to: sale of property or additional deduction of tax.

EXAMPLE

Unfortunately, Form 16B doesn’t have variations specific to individual states in India. It’s a standardized form used across the country for Tax Deducted at Source (TDS) on the sale of immovable property. However, the information filled in the form might differ based on the location of the property and the transaction details.

Here’s an example of a filled Form 16B, with placeholders for you to replace with the relevant information:

Form 16B

Certificate under section 194-IA of the Income-tax Act, 1961, for tax deducted at source

Part I : Deductor

1. Name of Deductor (Buyer): [Buyer’s Name]
2. Address of Deductor (Buyer): [Buyer’s Address]
3. PAN of Deductor (Buyer): [Buyer’s PAN]
4. Assessment Year: [Assessment Year]

Part II : Deductee (Seller)

1. Name of Deductee (Seller): [Seller’s Name]
2. Address of Deductee (Seller): [Seller’s Address]
3. PAN of Deductee (Seller): [Seller’s PAN]

Part III : Property Details

1. Description of Property: [Brief description of the property, including location, type, etc.]
2. Date of Agreement: [Date of the property sale agreement]
3. Sale Consideration: [Total sale amount of the property]

Part IV : TDS Deduction Details

1. Amount of TDS Deducted: [Amount of TDS deducted on the sale consideration]
2. Rate of TDS Deducted: [Applicable TDS rate, usually 1%]
3. Date of TDS Deposit: [Date on which the deducted TDS was deposited to the government]
4. Payment Acknowledgement Number (PAN): [Unique number generated upon TDS deposit]

Part V : Verification

I, [Buyer’s Name], son/daughter of [Buyer’s Father’s Name], in the capacity of [Buyer’s Designation], do hereby certify that a sum of Rs. [Amount of TDS Deducted] (Rupees [Amount of TDS Deducted in words]) has been deducted at source under section 194-IA of the Income-tax Act, 1961, from the sale consideration of the above-mentioned property and deposited to the credit of the Central Government on [Date of TDS Deposit]. I further certify that the information given above is true, complete, and correct and is based on the books of account, documents, challan-cum-statement of deduction of tax, TDS deposited, and other available records.

CASE LAWS

1. Download from the official website:

• The Central Board of Direct Taxes (CBDT) website provides access to various income tax forms, including Form 16B. You can download the latest version of the form directly from the CBDT website at https://www.incometax.gov.in/IEC/foportal.
• Once on the website, navigate to the “Downloads” section and then select “Forms” from the sub-menu.
• Locate and download “Form 16B – Certificate of Deduction of Tax at Source under Section 197”.

2. Obtain from your employer:

• Your employer is responsible for issuing Form 16B to you if they have deducted Tax Deducted at Source (TDS) from your salary or other income payments.
• They should provide you with the form by the due date, which is generally February 28th of the following financial year.

3. Contact the Tax Information and Facilitation Centre (TIFC):

• You can also visit your nearest TIFC office and request a copy of Form 16B.
• TIFC offices are located across India and provide assistance to taxpayers with various income tax-related matters.

Specific State of India:

When filling out Form 16B, you will need to specify the state in which the TDS was deducted. This information is crucial for accurately reporting your income and claiming any applicable tax benefits.

For Tamil Nadu, you can mention “Tamil Nadu” in the relevant section of the form.

Additional points:

• Ensure you download the latest version of Form 16B, as the format and instructions may change periodically.
• If you encounter any difficulties obtaining or filling out the form, you can seek assistance from your employer, a tax consultant, or the TIFC.