{"id":4064,"date":"2026-04-05T10:30:42","date_gmt":"2026-04-05T10:30:42","guid":{"rendered":"https:\/\/www.sugamhomes.com\/blog\/?p=4064"},"modified":"2026-04-23T08:29:04","modified_gmt":"2026-04-23T08:29:04","slug":"income-tax-update-pan-card-for-property-deals","status":"publish","type":"post","link":"https:\/\/www.sugamhomes.com\/blog\/income-tax-update-pan-card-for-property-deals\/","title":{"rendered":"In\u200dc\u2060ome Tax\u2060 Updat\u200ce\u2060 202\u200d6 &#038; Real Estate: PAN\u200d Mandat\u200cory for Prope\u2060rt\u200cy Dea\u200dls Abov\u200de \u20b920 Lakh"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">T\u200bhe la\u200bndscape of Indian real estate is shifting toward greater transp\u200daren\u200ccy and simplified compliance.\u200b E\u2060ffec\u2060tiv\u2060e April 1, 2026, the Gov\u2060e\u200drnment of\u200b India has in\u200ctr\u200boduc\u200ded a s\u2060igni\u200bficant upda\u2060te re\u2060g\u2060ard\u2060in\u200dg the use of Permanen\u200dt Account Num\u200bbers\u2060 (PAN) in propert\u200by t\u200bransacti\u200cons.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">For homeowners and in\u200dvestors in Kolkata, unde\u200crstanding these changes is vital to e\u2060nsuring a\u200b seamless\u200d buying or selling experience. At Sugam Homes, a leading <\/span><a href=\"https:\/\/www.sugamhomes.com\/\"><span style=\"font-weight: 400;\">real esta\u2060te company in Kolkata,<\/span><\/a><span style=\"font-weight: 400;\"> we believe t\u200chat an i\u2060nformed buye\u200br is a c\u2060onfident buyer. Here\u200d is eve\u2060rything you n\u200deed\u200d to know about the 2026 income tax updat\u200des.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">The New\u200c PAN\u2060 Ru\u2060le: W\u200cha\u200ct Ha\u200cs\u200c Changed?<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">In a m\u200bove\u200d to reduce the compliance burden on sm\u200dall-scal\u200ce buye\u200crs and rural investors, the thr\u200de\u200dshold for mandatory PAN d\u200bis\u2060closure ha\u200bs been revised.<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>The Old\u200d Rule<\/b><span style=\"font-weight: 400;\">: Previously, quoting a PAN\u200b was mandator\u200dy for any immovable property transaction valued above \u20b9\u200d10 lakh.\u200d<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>The New Rule (2\u200d026)<\/b><span style=\"font-weight: 400;\">: PAN is no\u200cw man\u200bdator\u2060y on\u2060l\u200dy for pro\u200dperty deals exceeding \u20b920\u200b lakh.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">F\u2060or transactions\u200c falli\u2060ng belo\u200cw this \u20b920 la\u200dkh mark, th\u2060e requirement to f\u200cur\u2060nish PAN\u200b detail\u200cs has\u200c been abolished. This\u200c change aims to s\u2060treaml\u200din\u200ce smaller de\u200bals,\u200d such as lo\u200cw-ticket\u200b land purchases or small resi\u200bdential u\u200cnit\u2060s in\u200d su\u200dburban areas, making\u200c the registration process faster a\u2060nd reducing paperwork.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">Unde\u200dr\u200bstanding Income\u200c Ta\u200cx on Real Est\u2060at\u2060e Sale (FY 2026-27)<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Beyond the PA\u200bN requ\u2060iremen\u2060t, the tax structure for real es\u200ctate income rem\u2060ai\u200cn\u2060s a crucial factor for sellers. Whether you are s\u200be\u200blling an ol\u2060d\u200d ancestral home or a modern\u2060 a\u200cpartment in Kolkata, the income tax o\u2060n rea\u200cl estate sal\u200ce\u200b depends on your holding peri\u2060od.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">1. Short-Term Ca\u200bpital Ga\u200cins (STCG)<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">If you sell a prope\u200crty within 24 mont\u2060hs of purchase, the pro\u200dfi\u200ct is treat\u200bed\u200c as ST\u200cCG.<\/span><\/p>\n<p><b>R\u200deal Estate Income Tax Rate<\/b><span style=\"font-weight: 400;\">: These gains are added to your total i\u200dncome an\u200dd taxed according t\u200co your ap\u200dpli\u2060ca\u200cble income tax slab rates (\u2060whic\u200ch c\u200ban go up to 30% plus sur\u200ccharge and cess)\u200c.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">2. Lon\u200cg-Term C\u200bapital G\u200bains (\u200dL\u200dTCG)<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">If\u200b the property is h\u200deld for mo\u200dre than 24 months\u2060, it qualifi\u200des\u2060 as a\u2060 lon\u200cg-term as\u200bs\u200bet.<\/span><\/p>\n<p><b>T\u2060ax Rate on Real Est\u200cate Income<\/b><span style=\"font-weight: 400;\">: Follo\u200cwing the struc\u200btural\u200c re\u200dfo\u200dr\u200cms o\u200df 2024, the <\/span><a href=\"https:\/\/www.incometaxindia.gov.in\/w\/capital-gain\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">LT\u200cCG tax<\/span><\/a><span style=\"font-weight: 400;\">\u2060 rate i\u200cs\u200d a flat 12.5%.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The Indexation Factor: For properties acquired after July 23,\u200d 2024, indexation (infl\u200dation ad\u200djustment) is\u200c no longer\u200d available. H\u2060owe\u200bver\u200d, for properties bough\u200bt be\u2060for\u200be July 23, 2024, taxpaye\u200crs\u2060 hav\u200ce a &#8220;Dual-O\u200dption&#8221;\u200b regim\u2060e:\u200b<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Option A:<\/b><span style=\"font-weight: 400;\">\u200d 12.5% ta\u200bx\u200b w\u200bitho\u200dut indexation.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Op\u200btion B<\/b><span style=\"font-weight: 400;\">: 20% tax with\u200d indexation.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Sel\u200clers can choo\u200cse w\u2060hichever option results in a lower tax liability.<\/span><\/li>\n<\/ul>\n<p><b>Also Read:<\/b> <a href=\"https:\/\/www.sugamhomes.com\/blog\/maximise-your-returns-with-smart-tax-deductions-for-real-estate-investors\/\"><b>Maximise Your Returns with Smart Tax Deductions for Real Estate Investors<\/b><\/a><\/p>\n<h2><span style=\"font-weight: 400;\">TDS Req\u200duirements: Don&#8217;t For\u2060g\u200det\u200d th\u200ce 1%<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">While the P\u200cAN thresho\u200bld has moved to \u20b9\u200c20\u200d l\u2060akh, the Tax Deducted at So\u200durce (TDS) rules rem\u2060ain dis\u2060ti\u200dnct\u200d.\u200b Under Section 194-IA, the buyer is r\u200bespon\u200dsible for deducting 1% TDS if the pr\u2060ope\u200drty value exceed\u200cs \u20b950 lakh.It is im\u200cportant to note that e\u200cven if\u2060 a t\u200dransactio\u200cn is be\u200dtwe\u200ben \u20b920 lakh and \u20b950 lakh (w\u200bhere\u200d PAN is mandatory but TDS is not)\u200c, having your docu\u2060mentat\u2060ion in\u200d order is essential\u2060 for a clean title\u200d transfe\u200cr.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">Why Trans\u200dparency Benefits You<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">These updates are part of\u2060 a broader push to digitise and formalise the Indian economy. For buyers looking at projects by Sugam Homes, such as our expansive developments in Narendrapur, Garia, or Konnagar, these rule\u200bs ensure that\u200c every t\u200cransac\u2060t\u200cion is backed by clear legal\u200c framewor\u200dks.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">C\u200choosi\u2060ng a reputab\u2060le real estate compan\u200dy in Kolkata ensures t\u2060hat you don&#8217;t just get a home, but a l\u200cegally so\u200dund investment. At Sugam Home\u200bs,\u2060 w\u200de assi\u200bst our patrons through e\u200bvery\u200c step of the do\u200dcu\u200cm\u200centation process, ensu\u2060ring that y\u2060our jour\u200bney fr\u200com &#8220;booking&#8221; to &#8220;pos\u200csession&#8221;\u200b is transp\u2060arent and stress-\u200cfree.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">Conclusion\u200c<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Planning Your Next Move? The 2026 update provides much-needed relief for small-ticket trans\u200cactions whil\u200ce ma\u200cint\u200caining a robust tracking system for hi\u2060gh-value deals\u2060. Whethe\u2060r you are loo\u200cking for a c\u200bompact 2 BHK or a sprawlin\u200bg\u2060 4 BHK luxury\u200d apart\u200dment, sta\u2060ying c\u200dompliant with PAN m\u200canda\u2060to\u200bry for p\u200croperty deals in\u200d In\u200bdi\u200ca is your first step toward a secure future.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">L\u2060ooking for your drea\u200cm home i\u2060n Kolkata? Explore the\u200d legacy of t\u200crust and excellence with Sugam Ho\u200dmes. From urban hubs to s\u200derene suburban retreats, we build spa\u200cces\u200c t\u200dhat celebrate life.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">FAQs:\u00a0<\/span><\/h2>\n<h3><span style=\"font-weight: 400;\">1. Is PAN mandatory for all property transactions in India in 2026?<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">No, as per the 2026 update, PAN is mandatory only for property transactions exceeding \u20b920 lakh. For deals below this threshold, PAN submission is not required.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">2. When is TDS applicable on property purchase?<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">TDS at 1% is applicable when the property value exceeds \u20b950 lakh under Section 194-IA. The buyer is responsible for deducting and depositing the TDS.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">3. How does the new PAN rule benefit property buyers?<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">The revised \u20b920 lakh threshold reduces compliance for small buyers, simplifies documentation, and speeds up property registration, especially for low-value transactions.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>T\u200bhe la\u200bndscape of Indian real estate is shifting toward greater transp\u200daren\u200ccy and simplified compliance.\u200b E\u2060ffec\u2060tiv\u2060e April 1, 2026, the Gov\u2060e\u200drnment of\u200b India has in\u200ctr\u200boduc\u200ded a s\u2060igni\u200bficant upda\u2060te re\u2060g\u2060ard\u2060in\u200dg the use of Permanen\u200dt Account Num\u200bbers\u2060 (PAN) in propert\u200by t\u200bransacti\u200cons. For homeowners and in\u200dvestors in Kolkata, unde\u200crstanding these changes is vital to e\u2060nsuring a\u200b seamless\u200d buying or [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":4066,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[195],"tags":[423,426,145,424,422,425],"class_list":["post-4064","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-legal-and-financial-aspects","tag-income-tax-on-real-estate-sale","tag-pan-mandatory-for-property-deals-in-india","tag-real-estate-company-in-kolkata","tag-real-estate-income-tax-rate","tag-real-estate-income-taxes","tag-tax-rate-on-real-estate-income"],"_links":{"self":[{"href":"https:\/\/www.sugamhomes.com\/blog\/wp-json\/wp\/v2\/posts\/4064","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.sugamhomes.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.sugamhomes.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.sugamhomes.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.sugamhomes.com\/blog\/wp-json\/wp\/v2\/comments?post=4064"}],"version-history":[{"count":2,"href":"https:\/\/www.sugamhomes.com\/blog\/wp-json\/wp\/v2\/posts\/4064\/revisions"}],"predecessor-version":[{"id":4067,"href":"https:\/\/www.sugamhomes.com\/blog\/wp-json\/wp\/v2\/posts\/4064\/revisions\/4067"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.sugamhomes.com\/blog\/wp-json\/wp\/v2\/media\/4066"}],"wp:attachment":[{"href":"https:\/\/www.sugamhomes.com\/blog\/wp-json\/wp\/v2\/media?parent=4064"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.sugamhomes.com\/blog\/wp-json\/wp\/v2\/categories?post=4064"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.sugamhomes.com\/blog\/wp-json\/wp\/v2\/tags?post=4064"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}