Selling property in India: what is withheld, and what do you keep?
Enter the sale price and what you paid. We show what the buyer withholds, the tax actually due, the refund to claim, and what a lower TDS certificate changes.
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How this works
When a non-resident sells property in India, the buyer must withhold tax (TDS) before paying. With no certificate, the buyer applies the rate to the whole sale price, not to your gain. On a sale above ₹1 crore that is 12.5%, plus a 15% surcharge, plus 4% cess, which comes to 14.95% of the price.
The tax you actually owe is worked out on the gain: the sale price less what you paid, the cost of improvements, and the costs of selling. The calculator applies 12.5% with no indexation, plus surcharge and cess. The surcharge is 15% when the amount is above ₹1 crore and 10% from ₹50 lakh to ₹1 crore. For the tax due, the calculator looks at the gain alone and ignores your other Indian income.
The difference between what was withheld and what you owe comes back as a refund after you file an Indian tax return. A lower deduction certificate (Form 128, formerly Form 13) lets the buyer withhold close to the tax actually due. The calculator assumes the certificate matches the tax due exactly.
This calculator covers long-term sales only, which means property held for more than 24 months. A sale within 24 months is taxed at your slab rates, which depend on your other Indian income. US tax on the sale is not included: the US works out the gain in dollars, at the exchange rates on the purchase and sale dates.
The spreadsheet uses the same rules and shows the sale with and without a lower TDS certificate side by side. Its report tab can be printed or saved as a PDF for your accountant.
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Common questions
Why is so much withheld when my gain is small?
Without a lower deduction certificate, the buyer withholds on the whole sale price. The tax is due only on the gain, so the smaller your gain is compared with the price, the larger the refund.
How do I get the refund?
File an Indian income tax return for the year of the sale and claim the tax withheld, which appears in your Form 26AS. The refund is paid to your Indian bank account after the return is processed.
Does the US tax this sale too?
Yes, if you are a US citizen or resident. The US taxes the gain worked out in dollars and gives a credit for the Indian tax you paid. This calculator does not include the US side.
Is what I type saved anywhere?
Only in this browser, so your entries are still here if you come back. Nothing is sent to NRI Playbook. Use Start over to remove them, for example on a shared computer.
This tool gives estimates for planning. It is not tax, legal, or investment advice. Check your situation with a qualified cross-border tax professional.