Tedious TDS tangle
If you are planning to buy a property worth Rs 50 lakh or more, then be prepared to pay one per cent TDS even though it means walking in a haze of legal jargon for the time being
Geetu Vaid

The air is rife with expectations over the real estate regulatory Bill that is going to be introduced in the Monsoon Session of Parliament. The customer friendly face of the Bill is its major USP and the government is all set to score brownie points on this front as there will be more transparency in transactions now and builders will no longer be able to hold people to ransom. So, once the Bill is passed the buyers will be able to heave a sigh of relief.

But it seems what the government provides with one hand, it takes back with the other as the new Section in the Finance Act stipulating the deduction of one per cent TDS on big ticket purchases (read above Rs 50 lakh), that came into force from June 1, 2013, has added to the property buyer’s woes.

With no clarity about the various aspects of this Section, buyers, especially individual homebuyers, have been groping in the dark for the past 50 days now. Though announcement to this effect was made in February end, four months seemed to have been wasted as the Central Board of Direct Taxes has failed to present a clear picture to the buyers and sellers so far.

This amendment is proposed to collect tax at the earliest point of time as well as to have a reporting mechanism of transactions in the real estate sector.

“A similar provision was sought to be introduced by Finance Bill 2012, but was withdrawn on account of difficulties with regard to the implementation of this provision. These were explained to the authorities who appreciated the practical difficulties in implementing the provision, and therefore, did not include the same in the Finance Act 2012”, says Delhi-based tax consultant S. C. Vasudeva while mentioning that this year the Section had been introduced without any discussion. “The provisions, as introduced, involve a number of practical implications for which no clarification has so far been issued by the Central Board of Direct Taxes”, he added.

Not only the individual homebuyers, realtors and market experts, too, are irked over the ambiguous scenario. Rami Kaushal, Head of Consulting, CBRE South Asia Pvt Ltd. says, “There is a lot of ambiguity and we need clarity on the mechanics of this notification, like whether it will be applicable on the primary or on the secondary sales?”

“The authorities need to make it clear as to how this will work on the ground level. The whole process of deduction and depositing TDS is cumbersome and has added unnecessary hassles to property transactions. In the secondary market transactions it is the individual who will be caught in yet another bureaucratic puddle”, adds Kaushal.

Expressing his resentment Anil Kumar Sharma, President, CREDAI-NCR says, “The implementation of 1 per cent TDS to be charged on the transfer of immovable property will be a setback for the real estate sector. The provision means that the buyer is responsible for the deduction of TDS each time an instalment is disbursed by the bank, unless the responsibility is shifted to the bank. It has increased the monetary burden on homebuyers.”

The new Section will also have an impact on the prices. A buyer wanting to invest in a property worth Rs 50 lakh will have the additional burden of paying TDS of 1 per cent. It makes the dream of owning a home costlier. In Delhi-NCR and other metro cities, flats in most of the projects are priced above Rs 50 lakh. So anyone is selling a house for Rs 50 lakh will now have to pay Rs 50,000 to the government as TDS. “This may also slow down transactions in residential segment, as people are very sensitive to even a minor upward price correction”, says Sharma.

Apart from this, the tax burden will be substantial for those who have booked under-construction flats priced over Rs 50 lakh. “While making payment to the developer, 1 per cent of the deal value has to be deducted as tax and the task of depositing this tax and filing returns must also be followed, which makes entire process complicated”, rues Sharma.

The long-winded compliance process is another sore point as the deduction of TDS is not as convenient as it appears on paper. It will be quite inconvenient for the seller as well as the buyer. Explaining the complex process Abhay Kumar, CMD, Grihapravesh Buildteck Pvt. Ltd., says, “The buyers will have to first deduct 1 per cent on each instalment or payment demanded by the builder, then he will have to deposit the same amount with the IT department under builder’s PAN in the same month before a cut-off date. Furthermore, the buyer will have to issue a TDS certificate to the builder, and lastly he will have to file a TDS return with Income Tax department. It would be a tedious task for a buyer for a small deduction for which he will need to hire a specialist”.

Moreover, if a buyer deducts that 1 per cent and forgets to deposit that amount or if he fails to file TDS return then builder won’t be able to get the credit of that amount resulting in filing of complaints with TDS commissioner against the buyer. “Initially, it has created a chaotic situation causing inconvenience to the buyer, builder and the IT department. The government should have first educated the procedure to all the parties involved before implementing it,” adds Kumar

While the basic intent is to reduce the role of black money in big-ticket property transactions and to bring about more transparency, but it is sad that in this very regard this Section is not going to have any significant impact. “In most of the deals the tax is paid on the declared amount. So whether this will reduce the parallel play of underhand payments or not is not very clear”, says Kaushal.

Fault lines

The difficulty in the proper implementation of this Section stems from certain loose ends. According to Vasudeva some of the difficulties which would be experienced by the taxpayers are:

nWhat would be the position in cases where there are multiple buyers for a single project or there are joint buyers of a property. Who will be responsible to deduct tax at source?

nPayments are made to developers in instalments over the years. Whether the tax will have to be deducted from each of the instalments or from the final instalment in case of a property the total value of which is Rs 50 lakh or more than Rs 50 lakh?

nThere are number of cases where bank finance is obtained and direct payments are made by the bank on behalf of the buyer. In such cases who will be responsible to deduct tax at source?

nThere is a possibility of cancellation of allotment requiring the refund of advance to the buyer. What would be the position in respect of the tax deducted at source in case such tax is required to be deducted from each of the instalments?

Section 54F and 54GB of the Act require utilisation of ‘net consideration’ for the purpose of claiming tax exemption from the taxability of capital gain arising on the transfer of a long-term capital asset. In such cases the transferor will have to contribute the amount of tax deducted at source from his pocket so as to claim the necessary exemption.

nIn case the Permanent Account Number of the person who deducts the tax is not available whether the provision of Section 206AA would be applicable or not. If so, the tax deduction will have to be made @ 20 per cent.

nThere can be cases where full considerations has been paid in respect of an immovable property but the registration thereof is to be effected after June 1, 2013. In such cases how the tax would be deducted by the transferee as he has already made the full payment.

Besides these there will be other practical implications also which can’t be envisaged at this moment. “Frankly, there are no obvious answers for the above queries. The tax payer, in my opinion, should stay on the right side of the law and deduct tax at source in case of a doubt in order to avoid any complication later on. It would be advisable for the board to issue a circular in the form of FAQs (Frequently Asked Questions) so as to enable the smooth functioning of the provision and avoid harassment to the sellers as well as to the buyers of immovable property” advises Vasudeva.

Point of law

• The Finance Act 2013 has introduced a new Section 194IA in the Income-tax Act 1961 (The Act) which requires that any person, being a transferee, responsible for paying to a resident transferor, any sum by way of consideration for the transfer of any immovable property other than agricultural land shall, at the time of credit of such sum to the account of the transferor or at the time of payment of such sum in cash or by issue of cheque or draft or by any other mode whichever is earlier, deduct an amount equal to 1 per cent of such sum as income-tax thereon.
• It has further been provided in sub-section (2) of the said Section that deduction shall not be made where the consideration for the transfer of an immovable property is less than Rs 50 lakh and further that a person required to deduct tax shall not be required to obtain a tax deduction account number. The Section also defines the immovable property as any land other than the agricultural land or any building or part of the building. The amendment has been brought in w.e.f. June 1, 2013.

Silver lining

This is an important step on two accounts. Firstly, it brings transparency in the real estate transactions and secondly, it controls the flow of black money. Disclosure of seller’s PAN is mandatory for 1 per cent TDS and for sellers who do not disclose, it is 20 per cent. Importantly, the responsibility to deduct TDS is on buyer; this will ensure better compliance. Overall, a very important step for the realty sector. — Aditya Verma, CEO, Makaan.com India Pvt Ltd.

tax tips
Agricultural income part of IT return?
SC Vasudeva

Q. Three acres of ancestral land in my native village in Jind district have recently been released by my father. I am an income tax-paying employee. Can I add agricultural income in my return from the next year? What will be my tax liability in that case? — Ranjit Singh

A. I presume that three acres of agricultural land has been gifted to you by your father as it is not clear what is meant by ‘release’ of the ancestral land. It is also presumed that being an ancestral property, your father was competent to make a gift thereof in your favour. The reply to your query is based on these two presumptions.

You can include the amount of agricultural income in your total income provided you have carried out agricultural operations on this land or the same has been given on lease to someone to carry on such operations on your behalf. In such a case the income earned from agricultural operations would be included in your total income. Such agricultural income is added only for the purpose of ascertaining the rate at which the amount of total income excluding such agricultural income would be taxable. For example, in case your total taxable income, including agricultural income, is Rs 5 lakh and the agricultural income included therein is Rs 1 lakh, the rate at which the amount of Rs 4 lakh would be taxable shall be computed with reference to the total income of Rs 5 lakh.

How can we get a copy of a lost sale deed?

Q. We have a house which we have rented to a government agency on lease for three years. The lease agreement is in favour of my mother and is renewed after three years. My mother told me that she had lost the sale deed of the house and there is no other photo copy of it with us. I want to know the process for getting the certified sale deed from the sub-registrar office when we don’t have any record of the property with us except a house tax receipt, electricity meter in the name of my mother and lease deed with the NCC office of Army.

Secondly, we have a 80 sq yd built-up house adjacent to our main self-occupied residence which is vacant and in our possession. But again we have lost the sale deed and we have only an electricity meter in my father’s name and nothing else as proof of ownership in case we want to sell it in future. How can we get the duplicate sale deed and how to search the exact whereabouts of the said property i.e. the registration number and date of the sale deed, the khasra no. etc? — Jitender Singh

A. The loss of sale deed should be reported to the police and a copy of the FIR should be obtained. Your mother should be able to remember the year in which the plot was purchased. On that basis you should seek the help of a lawyer to search the records at the sub-registrar’s office so as to trace the sale deed in his records and thereafter obtain a duplicate copy from the sub-registrar’s office.

Same procedure should be followed with regard to 80 sq. yd built-up house adjacent to your self-occupied residence. May be the year of purchase of your self-occupied residence give some indication as to the year in which the 80 sq yd plot was purchased.

When should I take possession of flat to save tax?

Q. I purchased a residential plot jointly with my brother for Rs 60,000 in January, 2000. Thereafter, earth filling was done in the plot and boundary wall was also constructed in 2001. Details of the total cost incurred on the plot is:

1. Purchase cost of plot 60,000
2. Stamp duty 9,300
3. Other expenses 1,400
4. Commission agent 1,200

Total 71,900

a)Earth filling 18,000
b)Boundary wall 29,000

Total 47,000

In 2010-11 we decided to sell the plot and invest the sale proceeds for purchasing a flat jointly from a government-sponsored agency. We jointly received Rs 3,00,000, Rs 3,50,000, Rs 1,50,000 and Rs 4,46,000 on February 18, 2011, August 31, 2011, October 1, 2011 and September 20, 2012, respectively through cheques equally and separately. The final payment of Rs 9,54,000 was received on June 15, 2013 i.e. the date of execution of sale deed. Total amount of Rs 22,00,000 was received from the sale deed. The possession of the plot was also handed over to the purchaser on June 15, 2013.

All the above payments received through bank cheques were invested within one month from the date of receipt towards advance payment of instalments for the flat. The above payments received from the purchaser have not been shown in the Income Tax returns for the assessment year 2012-13, as these payments form a part of the sale consideration of sale deed executed on June 15, 2013. I am told that the payments received from the purchaser beyond one year before date of execution of the sale deed i.e. June 15, 2013 are liable to be taxed.

The possession of the flat is expected to be taken over in December, 2014.

My queries are as under:

• Are all the above-mentioned payments required to be shown in the return for assessment year 2013-14 or year 2014-15?
• What is the tax liability for both of us separately, if any, as a result of capital gain from sale of the plot, though the full amount received has been/ is to be paid towards cost of the flat?
• In case there is any tax liability, will you please suggest ways to avoid it?
• What is the time limit within which the possession of the flat must be taken to avoid tax liability? — Rajesh

A. Your queries are replied hereunder:

• The payments received towards the sale of the plot should be reflected in the assessment year 2014-15 i.e. financial year 2013-14. In fact, the entire computation of capital gain earned on the sale of plot will have to be reflected in the relevant column of the tax return.
• As the purchase of the flat has been made within one year before or two years after the date of sale, there should not be any tax liability in respect of the capital gain, being a long-term capital gain. The exemption in respect of the long-term capital gain should be claimed under Section 54F of the Income-Tax Act 1961 (The Act) which provides that in case the net consideration accruing on the transfer of a capital asset is utilised for purchasing a residential house within one year before or two years after the date of sale of a capital asset, long-term capital gain arising on such a transaction would not be taxable.
• As stated above no tax liability should arise on the basis of the facts provided in the query. The possession of the flat must be taken within two years after the sale of the plot so as to seek the exemption under Section 54F of the Act.

Can I include renovation expense in the total cost of flat?

Q. I sold a plot for Rs 57 lakh on May 21, 2013. Total long-term capital gain in this transaction is approx. Rs 49 lakh. I had booked a flat worth Rs 32 lakh by paying Rs 10 lakh as the booking amount and first instalment on June 10, 2010. Thereafter, Rs 5 lakh was paid on July 13, 2010 and another Rs  5 lakh on January 15, 2011. The balance amount of Rs 12 lakh was paid in instalments on and after May 31, 2012. I occupied the flat on March 3, 2013. My queries are:

• Thinkstockphotos/Getty images

  How much long-term capital gain can I offset against the purchase of the new flat i.e. full Rs 32 lakh or only Rs 12 lakh.
• Over and above the cost of Rs 32 lakh I have spent a sum of Rs 6 lakh on the upgradation of various items as those used by the builder were not of good quality. These included tiles, sanitary fittings, electrical fittings, woodwork, paint and varnish work. This amount has not been paid to the builder but to the supplier of items and contractors who are supplying/working for the builder. Can this amount be included in the cost of the flat i.e.32+6= Rs 38 lakh. — nt Sharma

A. Your queries are replied hereunder:

• It seems that it is a transaction of purchase of a flat. The provisions of Section 54F of the Act require that amount of net consideration accruing on the transfer of a capital asset should be utilised for the purchase of a residential house within one year before or two years after the sale of the capital asset so as to seek exemption from the taxability of long-term capital gain arising on such a transfer. Since only Rs 12 lakh has been utilised by you towards the purchase of a flat within one year before the sale of the plot, you will be entitled to claim partial exemption from the taxability of a long-term capital gain in accordance with the provisions of the above mentioned Section.
• The amount of Rs 6 lakh spent on the upgradation of house towards sanitary fittings, electrical fittings, erection of cupboards in rooms and kitchen, etc. will be treated as part of the cost of the flat.

email your queries to realestate@tribunemail.com

decor trends
Lively and lovely
Decorating the living room is no rocket science. It requires a blend of design sense and common sense
Belu Jain Maheswari

“Oh my god, where was the space to sit in the living room, it was so crammed with stuff.” How many times have we gone to someone’s drawing room or the living room (as it is called in US) and felt that half the things finding place there should actually be out of the area.

The Living Room is the place where we entertain guests, the room where the family members congregates to share their lives, watch television, listen to music or just simply relax. It is normally the best decorated room of the house, we always want to show our best side to the world.

Whenever we think of the interiors of a room, we have to keep a few simple principles in mind.

• What is the purpose of the room, do we get a lot of guests or do we basically use it as a family room.
• Do we have lot of space where we can have separate formal entertaining area and an informal family area.
• What is the climate where we live, if it is cold then we need warm fuzzy interiors, with woollen cushions and throws. If it is tropical with lot of rain, then we need to have furniture which does not get mildew easily, like cane or simple wood.
• Is the living room a space where we also sit for long hours, watch television, read, play indoor games, then it has to be comfortable and not a show case.

‘Weathered’ choice

Choice of materials is another important factor. Marble is a good idea in hot climate as it stays cool and can be cleaned with a brush and mop. Durries and rugs can add colour to a marble floor. In warm climate wall-to-wall carpeting should be avoided as it only adds to the temperature. Moreover, if the room is used a lot it will get dirty easily and then it will be a tedious process to take wall -to-wall carpeting out and get it dry cleaned.

In colder climate wood is used a lot as flooring as it gives a warmer feel. Here wall-to-wall carpeting can also be used to keep out the draught coming from the ground. But the areas, which are used more in the living room, should have another rug on top of the wall-to-wall flooring as you can dust and clean the smaller ones easily and keep the carpet cleaner and less given to wear and tear.

Tiles are one of the commonest things used as flooring, especially in India but the problem with these is that areas where the tiles join, where grouting is used , becomes dirty and black. Secondly these are slippery and can break and cannot be replaced easily. With a renewed interest in getting the antique look materials like bricks, terazzo floors etc also have a lot of following now.

Furniture finesse

An important element of any room is furniture, again furniture has to be decided keeping in mind the climate and use. Furniture has been part of a home even during the hunter gatherer days, they used to make benches from tree trunks and small stools from rocks. In contemporary times there are innumerable kinds and variety of furniture. Gothic, Baroque, Colonial, Scandinavian, traditional Indian, contemporary classic, contemporary modernistic. In India itself every region has its own unique style.

The key is to by and large stick to one style. You can add one or two pieces which are antique or part of family collection but to mix styles only adds to confusion. Imagine, straight line modernistic sofa, made of leather and chrome with a Rajasthani centre table. Or South Indian decor with Scandinavian furniture. If the room is used a lot use furniture which is easily maintainable, having heavy sofas with light floral tapestry will not do here, you need thick tapestry in shades that would not look dirty soon. Curtains and tapestry should be, by and large, bought together, so that you can coordinate colours.

Now you have the materials to suit all pockets and remember spending on changing old dirty sofa covers is essential, maintenance is more important than just purchasing.

Gadget show

If you have an informal TV watching room, do not keep a television in the drawing room. People come to meet and interact with you not watch your favourite serial, that they can do in the privacy of their home.

But if that is the only room you have to keep the idiot box, turn it off when the guests come. Now you have wall-mounted ones but even the stand alone ones can be kept on a well appointed table or console. TV does become the centre piece but it can be kept in such a way that it does not take over the whole room, remember it is a useful thing but not a beautiful thing.

Similarly keep your music system in a cabinet to save it from dust and to avoid clutter in the room. One important thing to remember is that the wires of electrical and electronic items should not be seen. In an old house you can cover them or even if it means repair work, get the wires hidden inside the walls.

Decorating a living room requires time and thought. Designs and patterns can be made on paper, do a lot of recce of the market, keep space for future acquisition and then take a plunge.

It is not rocket science, it can be done by yourself and will give you lot of creative satisfaction.

Go easy on accessories

As for artefacts and accessories, keep minimum. In India we tend to showcase everything we like in our drawing rooms whether it is a doll or a vase. We have memories attached to most items, in one home there were memorabilia from all their journeys, so you have a fan from Mizoram, a cane basket from Tripura, a paper mâché box from Kashmir and the list goes on and on. Five minutes into such a room and you have to listen to the story of the acquisition of each item in detail. While there may be some beautiful items, when cluttered together they look like scrap.

We might love what we buy, we might think we have the best taste but we can’t put everything out. Remember that you have to choose the right spot for display in accordance with the dimensions of the piece, lighting, and other items in the room.

If you have lot of bric a brac then the golden rule is — rotate. Put some items inside and then when you have got an eyeful of those displayed, change them with the ones kept inside.

Green house
Garden art
CS BEWLI

Topiary is the horticultural practice of closely trimming evergreen perennial bushes, shrubs and plants to create decorative shapes. It’s an art that creates a living sculpture.

Topiaries come in many forms, sizes and materials. Depending upon the aesthetics of the garden and personal preferences, living plants are fashioned into ornamental shapes. These shapes can be of a simple triangle, cone, dome to the more complex shapes of animals and human forms.

Evergreen plants with small leaves or needles that produce dense foliage to look compact are suitable for creating topiary.

A shrub grown in your garden can be transformed into an art-piece with methodical pruning and trimming. A single specimen of topiary when positioned aptly adds character and charm to even a small garden.

If you want to create topiary on your own, then it is better to use a frame of the desired design to ‘mould’ the growth of the plant according to the desired shape. Frames come in different attractive shapes. Wire mesh of suitable size is mounted on metal frames of different shapes. For ease in handling, these frames are detachable; metal clips are attached to the frame to join the partitions securely. Depending upon the size, topiary wire frames are opened up for being placed on larger shrubs.

The success of the whole project of this ornamental form of shrubbery-shaping lies in periodic pinching and pruning of leaves as they grow around the metal frame to create close-knit foliage. Creating topiary is not a difficult task, but it needs patience. Actually, it is like creating a sculpture in slow motion.

You need not be an artist to create topiary. Rule of thumb is to prune about 2 cm off at areas where you need to fill in; pruning will encourage additional growth to make it bushier.

Plants that grow well as topiary are: buxus sempervirens, arborvitae (Thuja sp.), dwarf myrtle, bougainvillea, golden duranta, podocarpus macrophyllus, pyracantha sp., juniperus sylvestri, Ficus pumila, alternanthera and hedera helix.

Techniques

• An outdoor topiary can be made with grown up plants as well. The plant is scaled to the size of the topiary. The wire frame is fixed around the shrub which is allowed to grow inside the wire frame until it completely fills the cage and then the foliage is pinched and trimmed periodically to maintain shape and to give a compact look. Formation of this type of topiary takes more time.
• Sphagnum moss and potting mixture is stuffed into sturdy sculpted metal frames to allow the plants to grow over the frame. Such topiaries do not grow roots into the ground; instead these are made to grow on the metal frames. With this technique, topiary is created much faster. These art-forms can be moved when required.

Succulent topiary

To give a unique touch to your garden topiary can also be created by planting cacti and succulents. Succulents are slow-growing and eye catching plants with low water needs. These can last for several years. Once the plants get set in sphagnum moss with potting mixture, the topiary needs very little maintenance and attention. Some of the succulent species of sedum, echeveria, aeonium, crassula, kalanchoe, and sempervivum do well as topiary. Chamaecereus sylvestri, a cactus is suitable species for such displays.

Tending tips

• Prune and trim twice a year during active growth period to maintain the shape and design of the topiary.
• Tools used for trimming should be sharp and clean; avoid trimming in direct sunlight. Also avoid cutting into leaves of large leafed specimen.
• Feed with NPK (nitrogen, phosphorous and potash) in early spring and mid-summer. Foliar fertilizer can be sprayed to boost foliage growth and give an instant fresh look to the leaves.
• Water consistently as it is required to prevent casualty.
• Floor-standing topiary needs plants that have strong central stems
• If two or more different plants are on the same frame, it should be ensured that they have similar light and moisture requirements.
• To keep the growth of plants under control, slow-growing plants should be selected.
• Topiary should receive sunlight for at least two hours a day.
• Turn the plant every few days to enable it to grow evenly.

DIY diary

• Get a topiary frame made of wire mesh (chicken mesh wire can be inserted in case the wire mesh holes are bigger).
• Place about 1 cm thick moist layer of moss on the inner side all along the frame to prevent potting mix from spilling. The moss should be compact, as it shrinks after drying.
• Fill the frame with moist compost.
• Insert rooted plants about 2 cm deep in the frame through the wire mesh by making holes and gently press around to make sure there are no air pockets.
• Spray the arrangement with water and place it in a shady and an airy area for about a week's time and then gradually shift it to a place where it receives the morning sun. (In case of cuttings, the compost should be kept moist for about three weeks and placed in a shady area).
• The compost should be kept moist.
• For the health of topiary, spray alternately with malathion and rogor (2 ml to a litre of water) once in growing season.

vaastu wisdom
Best way to keep items in home
Madan Gupta Spatu

Q. We will be moving into our newly constructed home soon. Please guide about the right direction to place items in kitchen and other rooms in order to have a comfortable life. — Ramesh Dheer

An owl poster is not an auspicious item to keep in home

A. In kitchen place the grinder, fridge and other heavy items towards southern and western walls. In bedrooms use beds with four legs. Box-beds that are used very commonly now should be avoided as these stop air circulation and cause bad health.

Placing pyramids is an effective and pocket friendly way of mitigating the effects of all Vaastu defects in a house or a building. These should be installed in strategic locations in the house such as the centre of the house, a specific room or even in an energetic key point. It balances the electromagnetic field of the human aura. Posters of crying girl, war scene, sexy scenes, angry man, owl and eagle are considered inauspicious. In case you have one at your home, replace it immediately. As for the doors, if you have doors that open outwards, replace them immediately by those that open inwards.

Right direction for toilet

Q. A number of acquaintances have pointed out that the toilet in our old home is in the wrong direction. What can be done about it? — Sheela

A. You have not mentioned the exact direction of the toilet in your home so it is difficlut to give advice about the remedy. However, you should keep in mind that a toilet, built in the eastern corner at the ‘Ishan’ angle, causes a lot of diseases to the inmates. If it is so in your case then you will have to make structural changes. Coonstruct a toilet mainly towards south or west. Remeber that one should be facing north or west while using the toilet.

Notice the direction in which water flows

Q. We are renovating our ancestral house in village which is next to Ghaggar river. I have noticed that my family has been facing multiple problems for quite sometime. Is having a river close to one’s house some kind of a Vaastu dosh? — Ram Singh

A. Having a river or a drain close to your home can have bad effect on the inhabitants, but you have to pay attention to the direction in which the water is flowing from there. If you have a drain or a river flowing in a direction other than the north-east and having anti-clockwise movement, the best remedy would be to place a statue of a Red Monkey made in marble on the front gate of the building facing west on the north-east corner of the house. If the boring is in the wrong direction, it is best to have a picture of Panchmukhi Hanuman facing south-west to the boring.

Dealing with ‘high tension’

Q. We have an old house but the electricity department has recently laid high voltage wire across our home. I know it is a Vaastu dosh. Can you suggest any remedy as we will not be able to shift from this house? — Vikas

A. In case a high voltage overhead wire passes over your house it will help to erect a plastic pipe filled with lime from one corner to the other in such a manner that both its ends remain outside by at least three feet each. This would eliminate the evil effects of the energy being released from the overhead wire.

vaastu@tribunemail.com

Banks to ‘name and shame’ guarantors too

Tightening the noose on loan defaulters, banks have decided to ‘name and shame’ the guarantors of such borrowers as well by publishing their photographs and other details in newspapers and on notice boards of bank branches and community centres.

Banks, mostly public sector lenders, began publishing pictures of wilful loan defaulters in newspapers and at other places around the areas of residence of such borrowers earlier this year to make them to pay up.

This exercise has now been extended to the guarantors of loan defaulters as well as part of the efforts to build pressure on the borrowers to clear their dues

Interestingly, public sector banks have taken a lead in adopting these measures and are already making public the photographs and other details of loan defaulters.

According to bankers, the photographs, names and addresses of the borrowers and guarantors would be published in newspapers if the dues are not cleared within 15 days of the notice containing particulars of the original borrowers.

Courts’ view

Recent High Court judgments have also strengthened the banks’ hands on naming and shaming of guarantors to recover their dues. Several high courts, including the Madras High Court, have held that banks can publish photographs of guarantors in newspaper advertisements, say legal experts.

With large banks adopting the strategy of publishing photographs to put pressure on defaulters, even mid-size and small banks are now looking to follow suit, said sources in the banking industry.

The RBI has authorised banks to go after both borrowers and guarantors of loans. In the eyes of law, both are to be treated on an equal footing

— SC Dhall

Launch pad
ATS Casa Espana in Mohali

ATS Infrastructure Ltd. launched Casa España — a Spanish-inspired Hacienda in Sector 121, Mohali, earlier this week.

This 25-acre development will have 572 premium apartments in G+25-storey towers. Giving details of the project Sanjeev Kathuria, Deputy Chief Operating Officer, Punjab Division & President Sales Operations said, “There will be just two apartments on each floor and the buyers will have the option of choosing between 4+1 BHK 3,300 sq ft and 3+1 BHK 2,400 sq ft apartments. The launch price for the project is Rs 3,750 per sq ft.”

The group will be spending Rs 400 crore on the construction of the towers and possession will be handed over to customers by December, 2016.

The project has been designed by Hafeez Contractor, and will have facilities like clubhouse with swimming pool, well equipped gym, indoor and outdoor games areas, multi-purpose hall, utility shops, café, basketball, tennis court, table tennis room, billiards room, cricket pitch and jogging track.