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Process for purchasing real estate from NRIs in India simplifies starting October 1
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Aaj Tak
www.aajtak.in

Process for purchasing real estate from NRIs in India simplifies starting October 1

Previously, purchasing real estate from Non-Resident Indians (NRIs) required more paperwork compared to standard property transactions. However, changes will take effect on October 1, 2026, aimed at simplifying the procedure for deducting income tax (TDS) for individuals buying property from NRIs.

Under the new rules, if an Indian citizen or a Hindu Undivided Family (HUF) purchases land, a house, or other property from an NRI, they will no longer need to obtain a separate TAN (Tax Deduction and Collection Account Number) for TDS deduction. Buyers can now use their PAN number for TDS deduction, tax payment, and providing the necessary information.

These changes are part of the implementation of new tax legislation and are intended to ease tax procedures for those acquiring property from NRIs.

According to existing regulations, when purchasing property from an NRI, an Indian citizen or HUF had to not only deduct TDS but also obtain a TAN, which was an additional procedure for the buyer. This extra procedure will be abolished starting October 1.

The Tax Department previously clarified in FAQs related to the 2026 budget that starting October 1, 2026, resident buyers purchasing property from NRIs will not require a separate TAN. Instead, they can complete all necessary TDS-related procedures through their PAN. A system of checks and reports based on PAN will also be used to provide TDS information.

Nevertheless, this change does not mean the abolition of TDS when purchasing property from NRIs. The TDS rule remains in force when acquiring property from NRIs. The change is merely that a separate TAN is no longer required to carry out TDS-related procedures. The buyer must still determine the applicable TDS rate, withhold the tax in due time, deposit it into the budget according to the established procedure, and provide the relevant TDS information.

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Localiza launches vehicle subscription options with three and six-month contracts
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autopapo.com.br

Localiza launches vehicle subscription options with three and six-month contracts

Localiza has discontinued the Meoo brand and officially renamed its car subscription operation to Localiza Assinatura. With this new identity, the service now includes three, six, and nine-month contracts, introducing unprecedented terms, as previously contracts started at 12 months and could go up to 48 months.

According to Localiza&Co, this change goes beyond just a name change; it aims to simplify the group's brand structure, strengthening the concept of vehicle usage over acquisition. All plans maintain costs such as IPVA, protection, inspections, and preventive maintenance included in the monthly fee.

The introduction of shorter contracts resulted from an internal study by the company itself, which revealed that 73% of surveyed consumers showed great interest in plans lasting less than a year. Reasons cited by consumers include temporary professional projects in other locations, transitional phases in personal or professional life, or simply the desire to try the model before making a purchase.

Conventional packages, ranging from 12 to 48 months, remain available in the portfolio. On the brand's website, there is a calculation tool that allows users to compare the costs between subscribing to and buying a car.

Another innovation presented is payment flexibility: the subscriber has the option to prepay part of the total contract value to reduce subsequent installments. According to Localiza&Co, the larger the initial contribution, the lower the monthly fee will be. This prepayment provides a discount on the final contract value that exceeds the CDI yield, although the company has not detailed the exact calculation.

Breno Campolina, Executive Director of Subscriptions and Fleet Management at Localiza&Co, commented that this feature prevents the client from keeping capital idle in a car purchase while ensuring highly competitive virtual profitability on the prepaid amount.

Currently, the subscription operation has approximately 70 thousand active clients and registered a 14% year-over-year growth, positioning the company as the largest in the sector in the country. Management is done through an application, where the client monitors the manufacturing status of the vehicle in the chosen color, schedules maintenance, monitors mileage and fines, and adjusts their plan.

The function called 'Where is my car' displays the vehicle's real-time location and allows for the configuration of alerts and digital fences. The company reports that 90% of subscribers use the application continuously.

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