14 March, 2026

TDS on Property Purchase | Form 26QB Replaced by Form 141

CA RAMAKRISHNA SANJAY

7760252581

TDS on Property Purchase: Transition from Form 26QB to Form 141 (Effective 1 April 2026)

Introduction

The Income Tax Department has introduced Form 141 to simplify reporting of TDS on property transactions. From 1 April 2026, Form 141 will replace Form 26QB for reporting TDS under Section 194-IA of the Income-tax Act. This change aims to make compliance easier, particularly in transactions involving multiple buyers and sellers.

What is TDS on Property Purchase?

Under Section 194-IA, any buyer purchasing an immovable property (other than agricultural land) must deduct 1% TDS if the sale consideration exceeds ₹50 lakh.

Key compliance points:

• TDS Rate: 1% of consideration
• Threshold: Applicable if property value is ₹50 lakh or more
• Time limit: TDS must be deposited within 30 days of deduction
• Earlier form: Form 26QB
• New form: Form 141 (effective 1 April 2026)

Why Form 141 is Introduced

Earlier, buyers had to file separate Form 26QB for every buyer–seller combination, which often

Important Rules Buyers Should Know

• TDS applies if total property value exceeds ₹50 lakh, even in joint purchase.
• Ownership share mentioned in the agreement determines TDS liability.
• GST should not be included while calculating TDS.
• Incidental charges such as parking, maintenance, club membership should be included in property consideration.
• Even if payment is made through housing loan, the buyer must deduct and deposit TDS.

Correction of Errors

If incorrect details are reported in Form 26QB or Form 141, corrections can be made through the TRACES portal. Timely correction ensures that the seller receives proper TDS credit and avoids tax disputes.

TDS on property purchase, Form 141 TDS, Form 26QB replacement, Section 194-IA TDS, property purchase tax rules India, property TDS compliance 2026.

13 March, 2026

Cryptocurrency Tax in India (2026 Guide): 30% Tax, 1% TDS, Budget 2026 Reporting Rules Explained

Cryptocurrency trading has grown rapidly in India. However, the Income Tax law treats crypto transactions under a special taxation regime, making compliance stricter than many other financial assets.

If you buy or sell Bitcoin, Ethereum, or any other crypto asset, it is important to understand the tax implications.

This guide explains how cryptocurrency is taxed in India, reporting requirements, TDS rules, and key Budget 2026 changes.

1️⃣ What is Cryptocurrency Under Income Tax Law?

Cryptocurrencies are classified as Virtual Digital Assets (VDA) under the Income Tax Act.

Examples include:

✔ Bitcoin
✔ Ethereum
✔ Solana
✔ Meme coins
✔ Exchange tokens

The taxation framework for VDA was introduced in Finance Act 2022.

Key provisions include:

Section 115BBH – Tax on crypto gains
Section 194S – TDS on crypto transactions
Section 56(2)(x) – Tax on crypto gifts
Schedule VDA – Mandatory disclosure in ITR

2️⃣ Tax Rate on Cryptocurrency in India

Income from transfer of cryptocurrency is taxed at:

30% + surcharge + 4% health and education cess

This rate applies regardless of holding period.

Unlike shares or mutual funds:

❌ No long-term capital gain benefit
❌ No concessional tax rate

Example

Particulars	Amount
Purchase value	₹5,00,000
Sale value	₹6,20,000
Profit	₹1,20,000

Tax = 30% of ₹1,20,000 = ₹36,000 + cess

3️⃣ Deduction Allowed While Calculating Crypto Tax

The law allows only one deduction.

✔ Cost of acquisition

Example:

Particulars	Amount
Purchase price	₹2,00,000
Sale price	₹2,70,000
Taxable profit	₹70,000

4️⃣ Expenses That Cannot Be Claimed

Under the crypto tax regime, most expenses are not allowed.

Examples include:

❌ Brokerage or exchange fees
❌ Internet expenses
❌ Office rent
❌ Electricity costs
❌ Salary paid to trading staff
❌ Interest on borrowed money
❌ Trading software costs

The law clearly states:

No deduction is allowed except cost of acquisition.

5️⃣ Crypto Loss Rules in India

Crypto taxation rules are very strict regarding losses.

Loss from crypto:

❌ Cannot be set off against other income
❌ Cannot be set off against gains from other coins
❌ Cannot be carried forward

Example

Coin	Result
Bitcoin profit	₹80,000
Solana loss	₹50,000

Taxable income remains ₹80,000.

6️⃣ 1% TDS on Crypto Transactions

Section 194S introduced 1% TDS on crypto transfers.

This applies on transaction value, not profit.

Example

Crypto sold for ₹10,00,000

TDS = 1% = ₹10,000

This is not final tax, only a credit.

Actual tax is calculated at 30% on profit.

7️⃣ Budget 2026: Stronger Crypto Reporting Rules

Budget 2026 proposes a stricter reporting framework for crypto transactions.

If reporting entities fail to submit crypto transaction details:

⚠ Penalty of ₹200 per day

If incorrect information is submitted:

⚠ Penalty up to ₹50,000

Effective from:

📅 1 April 2026

Although reporting is primarily for exchanges, the practical effect is:

✔ Income Tax Department will receive detailed trading data
✔ Non-disclosure by taxpayers may be detected easily

Conclusion

Cryptocurrency taxation in India is structured as a special compliance regime.

Key points to remember:

✔ 30% tax on crypto profits
✔ 1% TDS on transaction value
✔ No deduction except cost of acquisition
✔ No loss set-off or carry forward
✔ Mandatory reporting in Schedule VDA
✔ Stronger reporting rules from Budget 2026

Frequently Asked Questions (FAQs)

1️⃣ Is cryptocurrency legal in India?

Yes. Crypto trading is legal but heavily taxed under the VDA regime.

2️⃣ What is the tax rate on crypto in India?

Crypto gains are taxed at 30% plus surcharge and 4% cess.

3️⃣ Can crypto losses reduce tax?

No. Loss from crypto cannot be set off against any income or carried forward.

4️⃣ Is TDS applicable on crypto transactions?

Yes. 1% TDS under Section 194S applies on transfer of crypto assets.

5️⃣ Which ITR form should be used for crypto income?

Generally:

ITR-2 → Investors
ITR-3 → Crypto trading as business

CA RAMAKRISHNA SANJAY

7760252581

12 March, 2026

Mandatory Annual Health Check-Up Under New Labour Code

✍️ CA RAMAKRISHNA SANJAY

📞 +91 77602 52581

India’s labour law reforms aim to strengthen worker safety, health monitoring, and workplace welfare. One important compliance requirement relates to periodic medical examinations of workers.

This requirement arises from the Occupational Safety, Health and Working Conditions Code, 2020 (OSH Code).

This guide explains in a simple and practical manner:

✔ Who is covered
✔ Which establishments must comply
✔ Employee thresholds
✔ Applicability date
✔ Possible exemptions

⚖️ What Does the New Labour Code Say?

The OSH Code, 2020 empowers the government to require free medical examinations for workers in certain situations.

💡 Important:

The entire cost of the medical check-up must be borne by the employer.

👷 Who Are Covered Under This Provision?

The rule mainly applies to “Workers” under the labour code.

A worker generally includes persons employed in:

🏭 Factories
🏗 Construction establishments
⛏ Mines
⚓ Dock work
🏭 Manufacturing units
🚬 Beedi and cigar establishments

❗ Managerial and administrative employees are generally not treated as workers under this code.

🏢 Which Establishments Are Covered?

The OSH Code regulates establishments where industrial operations or labour-intensive activities exist.

Covered Establishments

✔ Factories
✔ Mines
✔ Building & construction establishments
✔ Dock work establishments
✔ Beedi and cigar manufacturing units
✔ Establishments employing contract labour
✔ Establishments employing inter-state migrant workers

These establishments must follow health, safety, and welfare provisions under the Code.

📊 Threshold Limits for Applicability

The applicability depends on the number of workers employed.

🏭 Establishment	📌 Threshold
Factory using power	10 or more workers
Factory without power	20 or more workers
Building & construction establishments	10 or more workers
Contract labour establishments	50 or more contract workers
Inter-state migrant workers	10 or more workers
Mines & dock work	No specific threshold

Once these thresholds are crossed, health and safety provisions become applicable.

🩺 When Is Annual Health Check-up Required?

Medical examinations are mandatory in the following situations.

👤 Category of Worker	🏥 Requirement
Workers aged 45 years and above	Free annual health check-up
Workers in hazardous occupations	Periodic medical examination
Workers exposed to chemicals, dust, or industrial hazards	Mandatory medical monitoring

💡 Employer must bear the full cost of these medical examinations.

🧾 Frequently Asked Questions (FAQs)

❓ Is annual health check-up mandatory under the new labour codes?

Yes. The OSH Code, 2020 empowers the government to mandate free medical examinations for certain categories of workers, particularly older workers and those working in hazardous environments.

❓ Who must bear the cost of the medical check-up?

💡 The employer must bear the entire cost of the medical examination.

Workers should not be charged for these health check-ups.

❓ Are office employees or IT professionals covered?

Generally no.
The provision mainly applies to workers in industrial establishments such as factories, construction sites, mines, and manufacturing units.

❓ Is this rule already in force?

No.
Although the OSH Code was enacted in 2020, it will come into effect only after government notification of the rules.

❓ Are health check-ups required only for workers above 45 years?

Workers above 45 years typically require annual check-ups, but workers involved in hazardous processes may require periodic medical examinations regardless of age.

❓ What records should employers maintain?

Employers may need to maintain:

✔ Medical examination reports
✔ Worker health records
✔ Hazard exposure monitoring data

These records help demonstrate compliance with workplace safety laws.

✍️ CA RAMAKRISHNA SANJAY

📞 +91 77602 52581

What is Crèche Pay in the New Labour Code?

Code on Social Security, 2020 and Maternity Benefit Act, 1961 require certain employers in India to provide crèche (child-care) facilities for employees with young children. Many employees and HR professionals commonly refer to the monetary alternative as “crèche pay.”

This article explains what crèche pay means, when it is applicable, and how employers comply with the rule under the new labour framework.

👶 What is Crèche Pay?

Crèche pay is a child-care allowance paid by an employer when a physical crèche facility is not provided.

Legally, the law mandates a crèche facility, but many organizations provide a monthly childcare allowance or reimbursement instead. This allowance is informally called crèche pay.

👉 In simple words:
Crèche Pay = Childcare allowance given instead of providing a crèche facility.

🏢 When is Crèche Facility Mandatory?

Under Indian labour law:

✔ A crèche facility must be provided if an establishment employs 50 or more employees.

This rule applies to:

Companies
Factories
Shops and establishments
Offices and corporate workplaces

The requirement originally comes from the Maternity Benefit Act amendment and continues under the Code on Social Security framework.

📊 How Employers Comply with the Crèche Requirement

Compliance Method	Explanation
In-house crèche	Child-care facility inside the office or factory
Shared crèche	Facility shared with nearby establishments
Tie-up with daycare	Agreement with external childcare centres
Crèche allowance (Crèche Pay)	Monthly reimbursement to employees

Many modern companies prefer crèche allowance because maintaining a physical facility can be operationally difficult.

⏰ Special Rights for Employees

If a crèche facility exists, employees are entitled to:

✔ 4 visits per day to the crèche
✔ Visits include rest intervals
✔ Facility must be within prescribed distance from the workplace

These rights primarily support working mothers returning from maternity leave.

💡 Example to Understand Crèche Pay

Example 1 – IT Company

Employees: 200

Instead of running an office daycare, the company provides:

₹5,000 per month childcare allowance

This allowance is commonly called crèche pay.

📌 Quick Summary

Particular	Details
Applicable law	Code on Social Security & Maternity Benefit Act
Threshold	50 or more employees
Requirement	Provide crèche facility
Alternative practice	Childcare allowance (Crèche Pay)
Employee benefit	4 visits per day to the crèche

🔎 Frequently Searched Questions

Is crèche pay mandatory in India?
The law mandates a crèche facility, not specifically “crèche pay.” However, many companies provide childcare allowance as an alternative.

At what employee strength is crèche mandatory?
When an establishment has 50 or more employees.

Can companies give allowance instead of a crèche?
Many companies provide childcare reimbursement, but compliance depends on state labour rules.

✅ Conclusion

Crèche provisions under the new labour framework aim to support working parents and promote workplace inclusion.

Understanding this provision helps both employers stay compliant and employees know their workplace rights.

CA RAMAKRISHNA SANJAY
📞 +91 77602 52581

Impact of New Labour Codes on Contract Labour in India – Simple Guide for Businesses

📘 Contract Labour under India’s New Labour Codes –

India has simplified labour regulations by introducing four new labour codes. These reforms aim to protect workers while making compliance easier for businesses.

One major area affected is contract labour — how companies hire workers through contractors.

The main laws governing this are:

Understanding these rules is important for business owners, HR professionals, and compliance advisors.

⚖️ Core Activity vs Non-Core Activity

The new labour codes focus on where contract labour can be used.

🔹 Core Activity

Core activity means the main business work of an organisation — the activity that generates revenue.

Examples:

Business	Core Activity	Contract Labour
🏭 Manufacturing company	Producing goods	❌ Generally not allowed
💻 IT company	Software development	❌ Generally not allowed
🏥 Hospital	Medical treatment	❌ Generally not allowed

For such activities, companies should normally hire regular employees or fixed-term employees.

🔹 Non-Core Activity

Non-core activities are support services that help the business operate but are not the main work.

Examples:

Business	Non-Core Activity	Contract Labour
🏢 Office	Housekeeping	✅ Allowed
🏭 Factory	Security services	✅ Allowed
🏥 Hospital	Canteen management	✅ Allowed

These activities are commonly outsourced to contractors.

📊 Threshold Limit Increased

Earlier, under the
Contract Labour (Regulation and Abolition) Act, 1970,
the law applied when 20 contract workers were employed.

Under the new labour codes:

✔ The law applies when 50 or more contract workers are engaged.

This change reduces compliance burden for smaller establishments.

🪪 Single License for Contractors

The new framework allows contractors to obtain a single license valid across India.

Benefits include:

✔ Easier deployment of workers
✔ Reduced paperwork
✔ Simplified labour administration

👨‍💼 Responsibility of the Principal Employer

Even when workers are hired through a contractor, the principal employer may still be responsible if the contractor fails to:

pay wages
follow labour laws
provide welfare facilities

Therefore companies must monitor contractor compliance carefully.

🚨 Common Mistakes Companies Make

Many businesses face labour disputes due to these mistakes:

❌ Using contract labour in core business activities
❌ Keeping contract workers continuously for many years
❌ Poor contractor agreements
❌ Not maintaining proper labour records
❌ Weak monitoring of contractor compliance

📌 Practical Example

Activity	Core / Non-Core	Contract Labour
Machine operation in factory	Core	❌ Not allowed
Packaging support	Non-Core	✅ Allowed
Security services	Non-Core	✅ Allowed
Special technical installation	Exception	⚠ Possible

Businesses should review their manpower structure, contractor agreements, and compliance systems to align with the new labour law framework.

CA RAMAKRISHNA SANJAY

📞 +91 77602 52581

Worker vs Employee under India’s New Labour Codes – Meaning, Differences, Examples & Legal Impact

📘 Worker vs Employee under India’s New Labour Codes – Why the Difference Matters

India has consolidated 29 labour laws into four major labour codes to simplify compliance and strengthen worker protection. Understanding the difference between “Employee” and “Worker” under these codes is extremely important for businesses, HR professionals, and compliance advisors.

The key legislations are:

These codes use the terms Employee and Worker in different contexts, and the distinction directly impacts labour rights, employer obligations, and litigation exposure.

👨‍💼 What is an “Employee”?

An Employee means any person employed on wages by an establishment to perform work such as:

✔ Skilled work
✔ Unskilled work
✔ Technical work
✔ Clerical work
✔ Managerial or administrative work

👉 In simple terms: Employee is a broad category covering almost everyone working for wages.

Examples of Employees

Accountant in a company
HR Manager
Software engineer
Factory supervisor
Office assistant

All these individuals are employees under labour laws.

👷 What is a “Worker”?

A Worker is a subset of employees.

A worker is typically someone engaged in:

✔ Manual work
✔ Skilled or unskilled labour
✔ Technical work
✔ Operational work
✔ Clerical work

However, the following are generally excluded:

❌ Managerial employees
❌ Administrative employees
❌ Supervisors above prescribed wage limits

👉 Therefore:

All Workers are Employees, but not all Employees are Workers.

📌 Why This Classification is Extremely Important

Correct classification affects several labour law rights and employer obligations.

1️⃣ Industrial Dispute Protection

Under the Industrial Relations Code, only workers can raise disputes before labour authorities.

Example:
A factory labourer dismissed unfairly can approach the labour tribunal.

2️⃣ Trade Union Rights

Only workers can:

✔ Form trade unions
✔ Participate in collective bargaining
✔ Strike under labour law provisions.

Managers or administrative employees cannot exercise these rights.

3️⃣ Retrenchment and Termination Protection

When terminating workers, employers must follow strict procedures such as:

Notice period
Retrenchment compensation
Government approval in certain cases

Failure to comply can result in labour litigation and penalties.

4️⃣ Safety and Working Conditions

Under the Occupational Safety Health and Working Conditions Code, workers receive:

✔ Workplace safety protections
✔ Maximum working hours
✔ Overtime wages
✔ Welfare facilities

This is especially relevant in factories, construction sites, and industrial establishments

⚠️ Compliance Risk for Employers

Many companies misclassify employees by giving managerial titles such as:

“Assistant Manager” or “Team Leader”.

However, courts evaluate the actual nature of duties, not job titles.

If the work is clerical or operational, the person may legally be considered a Worker, resulting in:

Retrenchment liability
Labour court jurisdiction
Union rights

This can significantly impact legal risk and compliance costs.

CA RAMAKRISHNA SANJAY

7760252581