This blog post explains CBDT Circular No. 9/2025, which clarifies that the higher 20% TDS rate under Section 206AB will not apply to property transactions covered by Section 194-IA. This brings significant relief to buyers and sellers by ensuring a consistent 1% TDS deduction on property sales over ₹50 Lakhs, simplifying compliance and streamlining real estate dealings.

This comprehensive guide demystifies the process of buying property from a Non-Resident Indian (NRI) in India. It highlights critical tax implications for the buyer, particularly regarding Tax Deducted at Source (TDS), and outlines essential legal due diligence steps to ensure a clear title. The guide also covers FEMA regulations for payment, required documentation for buyers, and the importance of professional assistance, empowering prospective buyers to navigate this specific real estate transaction securely and compliantly.