Budget 2026: NRIs May Get Relief on Property TDS Rules

• Non-Resident Indians (NRIs) have long sought relief from complex tax rules on property sales.
• Current rules require buyers to deduct high TDS rates (12.5% for LTCG, 30% for STCG) on NRI property sales, causing significant funds to be stuck.
• Buyers face increased compliance, needing a TAN, depositing tax, and filing e-TDS returns when purchasing from an NRI.
• The process for NRIs to obtain a no-tax deduction certificate is complex and time-consuming.
• Experts suggest simplifying rules, reducing the disparity between resident and NRI property tax, and introducing challan-cum-statement for NRIs.

Why It Matters: Budget 2026 may simplify property TDS rules for NRIs, easing their tax burden and compliance.