{"id":90769,"date":"2026-10-19T11:06:04","date_gmt":"2026-10-19T05:36:04","guid":{"rendered":"https:\/\/www.taxaj.com/learn\/form-141-schedule-e-nri-property-tds\/"},"modified":"2026-10-19T11:06:04","modified_gmt":"2026-10-19T05:36:04","slug":"form-141-schedule-e-nri-property-tds","status":"publish","type":"post","link":"https:\/\/www.taxaj.com/learn\/form-141-schedule-e-nri-property-tds\/","title":{"rendered":"NRI Property Purchase TDS Moves to Form 141 (Schedule E) From 1 October 2026"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\"><strong>From 1 October 2026, a resident individual or HUF who buys immovable property from a non-resident can deposit and report the TDS through Form 141 \u2014 the PAN-based challan-cum-statement \u2014 using the new Schedule E.<\/strong> CBDT made the change through the Income-tax (Fifth Amendment) Rules, 2026 (Notification No. 121\/2026, G.S.R. 830(E), dated 22 September 2026).<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Until now Form 141 covered only TDS on property bought from a resident seller, rent, contract and professional payments, and virtual digital assets. Purchases from an NRI seller sat outside it, which pushed individual buyers towards the TAN-based TDS route for a one-off deal.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What changed<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Rules 215, 218 and 219<\/strong> of the Income-tax Rules, 2026 now include deduction under section 393(2) [Table Sl. No. 17] where a resident individual or HUF pays or credits consideration for the transfer of immovable property.<\/li>\n<li><strong>Form 141<\/strong> gets a new <strong>Schedule E<\/strong> in Part B and a new transaction option: transfer of immovable property by a non-resident to a resident individual or HUF.<\/li>\n<li><strong>Form 132<\/strong>, the consolidated TDS certificate, gets the matching option, so the seller&#8217;s certificate comes through the same system.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Who it covers \u2014 and who it does not<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Covered:<\/strong> a buyer who is a <strong>resident individual or HUF<\/strong> purchasing land (other than agricultural land), a building or part of a building from a non-resident seller.<\/li>\n<li><strong>Not covered:<\/strong> companies, LLPs, firms and other buyers. The Income Tax Department&#8217;s Form 141 FAQ says they continue to report through the applicable TAN-based TDS statements.<\/li>\n<li><strong>Joint buyers:<\/strong> each buyer files a separate Form 141 for their own share.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">What Schedule E asks for<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Property:<\/strong> address, type, date of agreement, date of registration (if available), stamp duty value and total sale consideration.<\/li>\n<li><strong>Buyers and sellers:<\/strong> PAN, name and each person&#8217;s share of the consideration. For a non-resident seller, contact number, email and overseas address are mandatory <em>whether or not the seller has a PAN<\/em>.<\/li>\n<li><strong>Seller without PAN:<\/strong> the Tax Residency Certificate number and the foreign Tax Identification Number, which the notes link to avoiding deduction at a higher rate.<\/li>\n<li><strong>Payment:<\/strong> lump sum or instalment \u2014 first, subsequent or last \u2014 with the previous acknowledgement number for later instalments.<\/li>\n<li><strong>Tax:<\/strong> type of capital gain, amount paid or credited, rate applied, any lower or nil deduction certificate number under section 395, tax deducted (including surcharge and cess) and date of deduction.<\/li>\n<li><strong>Remittance link:<\/strong> the acknowledgement number of the related Form 145 (the successor to Form 15CA), where applicable.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Key dates<\/h2>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th>Step<\/th><th>Timeline (official FAQ)<\/th><th>For a deduction made in October 2026<\/th><\/tr><\/thead><tbody><tr><td>Schedule E available<\/td><td>From 1 October 2026<\/td><td>\u2014<\/td><\/tr><tr><td>Deposit the TDS<\/td><td>Within 30 days from the end of the month of deduction<\/td><td>By 30 November 2026<\/td><\/tr><tr><td>File Form 141<\/td><td>Within one month from the end of the month of deduction<\/td><td>By 30 November 2026<\/td><\/tr><tr><td>Seller&#8217;s certificate (Form 132)<\/td><td>Download from TRACES after filing<\/td><td>After deposit and filing<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">On the e-filing portal the route is <strong>e-File \u2192 e-Pay Tax \u2192 Income Tax Act 2025 \u2192 New Payment \u2192 Form 141<\/strong>, after logging in with the buyer&#8217;s own PAN.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What it does not change<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>The duty to deduct.<\/strong> Schedule E changes how the TDS is deposited and reported, not whether it is deducted or at what rate. There is no single rate across Form 141; it depends on the provision, the seller&#8217;s status and any certificate.<\/li>\n<li><strong>Corrections.<\/strong> A filed Form 141 is corrected only on TDS-TRACES, not on the e-filing portal.<\/li>\n<li><strong>The seller&#8217;s side.<\/strong> The NRI seller&#8217;s own tax position, return and remittance paperwork are separate from the buyer&#8217;s Form 141.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">What to do now<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Confirm residential status<\/strong> of both sides before the first payment \u2014 Schedule E applies only where the buyer is a resident individual or HUF and the seller is a non-resident.<\/li>\n<li><strong>Collect the seller&#8217;s details early:<\/strong> PAN if any, overseas address, contact details, TRC and foreign tax ID. Missing details can change the deduction.<\/li>\n<li><strong>Diarise each instalment.<\/strong> Every payment needs its own deposit within 30 days of the month-end, and later instalments quote the earlier acknowledgement number.<\/li>\n<li><strong>Register on TRACES<\/strong> as a taxpayer so you can download Form 132 for the seller and make any correction.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Buying property from an NRI?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">TAXAJ handles <a href=\"https:\/\/www.taxaj.com\/tan-tds-compliance\" target=\"_blank\" rel=\"noopener\">TDS compliance<\/a> for buyers and <a href=\"https:\/\/www.taxaj.com\/nri-tax-filing\" target=\"_blank\" rel=\"noopener\">NRI tax filing<\/a> for sellers, including lower-deduction certificates. If the seller needs a TRC or Form 41, read <a href=\"https:\/\/www.taxaj.com\/learn\/form-41-form-10f-trc-foreign-vendor-payment\/\" target=\"_blank\" rel=\"noopener\">Form 10F is now Form 41: TRC, PAN and paying a foreign party<\/a>. More updates are on our <a href=\"https:\/\/www.taxaj.com\/income-tax-news\" target=\"_blank\" rel=\"noopener\">income tax news<\/a> page.<\/p>\n\n\n\n<div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/bookings.taxaj.com\/\" target=\"_blank\" rel=\"noopener\">Talk to our tax team<\/a><\/div>\n<\/div>\n\n\n\n<p class=\"has-small-font-size wp-block-paragraph\"><em>Source: <a href=\"https:\/\/www.incometaxindia.gov.in\/documents\/d\/guest\/notification-no-121-2026-pdf\" target=\"_blank\" rel=\"noopener\">CBDT Notification No. 121\/2026 dated 22 September 2026<\/a> and the Income Tax Department&#8217;s <a href=\"https:\/\/www.incometax.gov.in\/iec\/foportal\/help\/all-topics\/e-filing-services\/form-141-challan-cum-statement-deduction-tax-us-3931-3932\" target=\"_blank\" rel=\"noopener\">Form 141 FAQ<\/a>. Last updated 19 October 2026. This is general information, not advice on any particular transaction.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>From 1 October 2026, a resident individual or HUF buying property from a non-resident can deposit and report the TDS on PAN through Form 141 Schedule E. Here is who it covers, the deadlines and what to have ready.<\/p>\n","protected":false},"author":1,"featured_media":90768,"comment_status":"closed","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"_kad_post_transparent":"","_kad_post_title":"","_kad_post_layout":"","_kad_post_sidebar_id":"","_kad_post_content_style":"","_kad_post_vertical_padding":"","_kad_post_feature":"","_kad_post_feature_position":"","_kad_post_header":false,"_kad_post_footer":false,"_kad_post_classname":"","footnotes":""},"categories":[5,13],"tags":[],"class_list":["post-90769","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-income-tax","category-news-updates"],"_links":{"self":[{"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/posts\/90769","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/comments?post=90769"}],"version-history":[{"count":0,"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/posts\/90769\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/media\/90768"}],"wp:attachment":[{"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/media?parent=90769"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/categories?post=90769"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/tags?post=90769"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}