Buying a flat from someone who has German citizenship Buying a flat from someone who has German citizenship

I am buying a flat from a married couple who has German Citizenship but has Indian PAN card, AADHAR, Indian Bank account and Voter ID card. They have joint ownership of the said flat. They now have been living in India since 1.5 years(according to them). Husband has filled ITR for last FY(2021-2022) and wife has been filing ITR for last 5+ years straight without fail, even while back when they were in Germany as they had earning rental income from the same flat property in India into their Indian bank account.
Husband has a job in India for last 1.5 years.
They are saying that in this deal, the TDS should be paid 1% only of the total agreed deal price, however I want to make sure IT dept should not come after me asking to pay another balance % TDS, which was under paid after the deal is closed. Or claim the said flat itself?
Hence, I need to close this deal appropriately by paying all the due taxes(TDS) correctly by laws and rules.

Three questions:
What will be the TDS in this sale deed to be paid to IT dept, 1% or 20.99% or 33% or 23%?
What and How should I ensure that they are not hiding anything - or even if they are, it should not affect me after the deal is closed from a % TDS paid standpoint?
Should there be any affidavit or declaration involved here that I should ask them to sign about them being in India truly for 1.5 years and filling ITR and such? again from %TDS standpoint?

Please help with some pointers to safeguard in this deal.

P.S. I will also be approaching a nationalized bank for a maximum possible home loan

Anik

Responded 2 months ago

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A.Dear client,
Buyer is required to deduct TDS at the rate 1% if sale consideration is 50 lakhs or above but from 01/04/ 2022, TDS is required to be deducted if stamp duty value of property is also 50 lakhs or more. This means TDS is required to be deducted if stamp duty value of property or sale consideration exceeds 50,00,000.
It is always better to consult a real estate lawyer before buying any property. Take all the documents and give them for verification once and they will let you know what you should do. I cannot comment on it without physically inspecting.
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