Taxation

TDS Rates Chart (AY 2022-23 FY 2021-22)

TDS Rates Chart (AY 2022-23 FY 2021-22)

Tax Deducted at Source (TDS) is a mechanism introduced by the Income Tax Department. Under this, the responsible person should deduct a certain percentage of income as tax before making the payment to the receiver. The payment includes salary, commission, professional fees, interest, rent, etc.

There are some critical notes to keep in mind for TDS Deduction:

Note 1: An individual and HUF shall deduct the tax under these provisions if his total sales, gross receipts, or turnover exceed Rs. 1 crore in case of business or Rs. Fifty lakhs in case of the profession during the financial year immediately preceding the financial year in which the sum is credited or paid.

Note 2: Rounding off TDS: The amount of tax to be deducted shall be rounded off to the nearest multiple of Rs. 10. For this purpose, any part of a rupee consisting of Paisa is ignored. After that, if such amount is not a multiple of Rs. 10, and the last figure in that amount is five or more, it is increased to the next higher amount, which is a multiple of Rs. 10, and if the last figure is less than five, the amount is reduced to the following lower amount which is a multiple of ten.

Note 3: Requirement to furnish PAN or Aadhaar: Where any person is entitled to receive any income or any other sum on which tax is deductible at source, he is required to provide his Permanent Account Number (PAN) or Aadhaar to the person responsible for deduction of tax, i.e., Deductor. If the PAN or Aadhaar is not furnished by Section 206AA, the tax shall be deducted at higher rates.

Note 4:┬аRequirement to furnish Return of income: Where any person who is entitled to receive any income (or sum or amount) on which tax is deductible at source fails to furnish their return of income for the specified period and tax deducted/collected during that period exceeds the specified limit, the tax shall be deducted under Section 206AB at a higher rate.

TDS Rates Chart (F.Y.2021-22 A.Y.2022-23) (Resident Indian) (Other Than a Company)

This TDS rates chart is applicable for the financial year from 01-04-2021 to 31-03-2022 and Assessment Year 2022-23. These TDS rates are applicable to a resident of India (other than a company). To know more about TDS rates applicable on other assessees please scroll down.

Section Particulars TDS Rates
192 Salary (As per Income Tax Slab) Slab
192A Premature withdrawal from EPF 10%
193 Interest on Securities 10%
194 Payment of any dividend 10%
194A Income in the form of interest (other than interest on securities). 10%
194B Income by way of lottery winnings, card games, crossword puzzles, and other games of any type 30%
194BB Income by way of horse race winnings 30%
194C Payment to Contractor/Sub Contractor – Individuals/HUF 1%
194C Payment to Contractor/Sub Contractor – Others 2%
194D Insurance commission 5%
194DA Payment of any sum in respect of a life insurance policy. w.e.f. 1st September 2019, the insurer shall deduct tax (TDS) on the income portion comprised in the insurance pay-out. 5%
194EE Payment of the amount standing to the credit of a person under National Savings Scheme (NSS) 10%
194F Payment due to repurchase of a unit by Unit Trust of India (UTI) or a Mutual Fund 20%
194G Payments such as commission, etc., on the sale of lottery tickets 5%
194H Commission or Brokerage 5%
194I Rent on
a) Plant and Machinery
2%
194I Rent on
b) Land/building/furniture/fitting w.e.f 1st April 2019, tax deduction limit on rent is increased to Rs 2.4 lakhs p.a. from Rs 1.8 lakhs p.a.
10%
194IA Payment in consideration of transfer of specific immovable property other than agricultural land. 1%
194IB Rent payment by an individual or HUF not covered u/s. 194I 5%
194IC Payment under Joint Development Agreements (JDA) to Individual/HUF 10%
194J Any sum paid by way of:
(a) Fee for professional services;
10%
194J (b) Remuneration/fee/commission to a director; 10%
194J (c) For not carrying out any activity in relation to any business; 10%
194J (d) For not sharing any know-how, patent, copyright, etc. 10%
194J (e) Fee for technical services, and 2%
194J (f) Royalty towards the sale or distribution, or exhibition of cinematographic films. 2%
194J (g) Fees for technical services but payee is engaged in the business of operation of call centre 2%
194K Payment of any income for units of a mutual fund as per section 10(23D) or from the administrator or specified company 10%
194LA Payment in respect of compensation on acquisition of specific immovable property. 10%
194LBA(1) Certain income distributed by a business trust to its unitholder 10%
194LBB Certain income paid in respect of units of an investment fund to a unitholder 10%
194LBC Income from investment in securitization fund
(a) Individual and HUF
25%
194LBC Income from investment in securitization fund
(b) Others
30%
194M Certain payments by Individual/HUF (Limit- Rs 50 Lakhs) 5%
194N Cash withdrawal exceeding a certain amount (limit- Rs 1 crore). 2%
194N In case Rs 20 lakh or more is withdrawn by the person not-filing ITR for the last three years, for which the due date of filing ITR has expired, the TDS rates shall be applicable as per below slabs-
For the amount more than Rs.20 lakh but up to Rs. 1 crore
2%
194N And for the amount exceeding Rs. 1 crore 5%
194O For the sale of goods or provision of services by the e-commerce operator through its digital or electronic facility or platform. 1%
194P Tax deduction by specified banks while making payments (pension or interest) to specified senior citizens or age 75 years or more. As per Slab
194Q Payments to residents for the purchase of goods if the aggregate value of goods exceeds Rs 50 lakhs.(TDS is deductible on value exceeding Rs 50 lakhs) 0.1%
Any Other Income 10%

TDS Rates Chart (F.Y.2021-22 A.Y.2022-23) (Non Resident Indian) (Other Than a Company)

This TDS rates chart is applicable for the financial year from 01-04-2021 to 31-03-2022 and Assessment Year 2022-23. These TDS rates are applicable to Non-Resident of India (other than a company). To know more about TDS rates applicable on other assessees please scroll down.

Section Particulars TDS Rates
192 Salary (As per Income Tax Slab) Slab
192A Premature withdrawal from EPF 10%
194B Income by way of lottery winnings, card games, crossword puzzles, and other games of any type 30%
194BB Income by way of horse race winnings 30%
194E Payment to non-resident sportsman (including an athlete) or an entertainer (not a citizen of India) or non-resident sports association. 20%
194EE Payment of the amount standing to the credit of a person under National Savings Scheme (NSS) 10%
194F Payment due to repurchase of a unit by Unit Trust of India (UTI) or a Mutual Fund 20%
194G Payments such as commission, etc., on the sale of lottery tickets 5%
194LB Payment in respect of compensation on acquisition of specific immovable property. 5%
194LBA(2) Payment like-
-interest income received or receivable to a business trust from SPV and distribution to its unitholders.
5%
194LBA(2) Payment like-
-dividend income received from SPV by a business trust, in which it holds the entire share capital other than required to be held by the government or government body, and distribution to its unitholders.
10%
194LBA(3) payment in the nature of income in the nature of rental income, out of real estate assets owned directly by such business trust, to unitholders. 30%
194LBB Payment of certain income by an investment fund to a unitholder 30%
194LBC Income from investment in securitisation fund 30%
194LC Payment in the nature of interest for the loan borrowed in foreign currency by an Indian company or business trust against loan agreement or against the issue of long-term bonds*. 5%
194LC *If interest is payable against long term bonds listed in recognised stock exchange in IFSC 4%
194LD Payment of interest on the bond (rupee-denominated) to Foreign Institutional Investors or a Qualified Foreign Investor 5%
195 Payment of any other sum to NRI Income on investments made by NRI citizen; 20%
195 Income by way of LTCG referred to in section 115E in the case of NRI; 10%
195 Income by way of LTCG under section 112(1)(c)(iii); 10%
195 Income by way of LTCG under section 112A; 10%
195 Income by way of STCG under section 111A; 15%
195 Any other income by way of LTCG; 20%
195 Interest payable on money borrowed by the government or Indian concern in foreign currency; 20%
195 Income by way of royalty payable by Government or an Indian concern in pursuance of an agreement made by it with the Government or the Indian concern where such royalty is in consideration for the transfer of all or any rights (including the granting of a licence) in respect of copyright in any book on a subject referred to in the first proviso to sub-section (1A) of Section 115A of the Income-tax Act, to the Indian concern, or in respect of any computer software referred to in the second proviso to sub-section (1A) of Section 115A of the Income-tax Act, to a person resident in India 10%
195 Income from royalty payable to the Indian concern by government or Indian concern in pursuance of an agreement on matters related to industrial policy; 10%
195 Income from technical fees to the Indian concern by government or Indian concern in pursuance of an agreement on matters related to industrial policy; 10%
195 Any other income. 30%
196B Income from units (including long-term capital gain on transfer of such units) to an offshore fund 10%
196C Income from foreign currency bonds or GDR of an Indian company (including long-term capital gain on transfer of such bonds or GDR) 10%
196D Income of foreign Institutional Investors from securities (not being dividend or capital gain arising from such 20%

TDS Rates Chart (F.Y.2021-22 A.Y.2022-23) (Domestic Company)

This TDS rates chart applicable for financial year from 01-04-2021 to 31-03-2022 and for Assessment Year 2022-23. These TDS rates applicable to Domestic Company. To know more about TDS rates applicable on other assessee please scroll down.

Section Particulars TDS Rates
192 Salary (As per Income Tax Slab) Slab
192A Premature withdrawal from EPF 10%
193 Interest on Securities 10%
194 Payment of any dividend 10%
194A Income in the form of interest (other than interest on securities). 10%
194B Income by way of lottery winnings, card games, crossword puzzles, and other games of any type 30%
194BB Income by way of horse race winnings 30%
194C Payment to Contractor/Sub Contractor – Individuals/HUF 1%
194C Payment to Contractor/Sub Contractor – Others 2%
194D Insurance commission 5%
194DA Payment of any sum in respect of a life insurance policy.w.e.f. 1st September 2019, the insurer shall deduct tax (TDS) on the income portion comprised in the insurance pay-out. 5%
194EE Payment of amount standing to the credit of a person under National Savings Scheme (NSS) 10%
194F Payment due to repurchase of a unit by Unit Trust of India (UTI) or a Mutual Fund 20%
194G Payments such as commission, etc., on the sale of lottery tickets 5%
194H Commission or Brokerage 5%
194I Rent on
a) Plant and Machinery
2%
194I Rent on
b) Land/building/furniture/fitting w.e.f 1st April 2019, tax deduction limit on rent is increased to Rs 2.4 lakhs p.a. from Rs 1.8 lakhs p.a.
10%
194IA Payment in consideration of transfer of certain immovable property other than agricultural land. 1%
194IC Payment under Joint Development Agreements (JDA) to Individual/HUF 10%
194J Any sum paid by way of:
(a) Fee for professional services;
10%
194J (b) Remuneration/fee/commission to a director; 10%
194J (c) For not carrying out any activity in relation to any business; 10%
194J (d) For not sharing any know-how, patent, copyright etc. 10%
194J (e) Fee for technical services, and 2%
194J (f) Royalty towards the sale or distribution, or exhibition of cinematographic films. 2%
194J (g) Fees for technical services but payee is engaged in the business of operation of call centre 2%
194K Payment of any income for units of a mutual fund as per section 10(23D) or from the administrator or specified company 10%
194LA Payment in respect of compensation on acquisition of certain immovable property. 10%
194LBA(1) Certain income distributed by a business trust to its unitholder 10%
194LBB Certain income paid in respect of units of an investment fund to a unitholder 10%
194LBC Income from investment in securitisation fund
(a) Individual and HUF
25%
194LBC Income from investment in securitisation fund
(b) Others
30%
194M Certain payments by Individual/HUF (Limit- Rs 50 Lakhs) 5%
194N Cash withdrawal exceeding a certain amount (limit- Rs 1 crore). 2%
194N In case Rs 20 lakh or more is withdrawn by the person not-filing ITR for the last three years, for which the due date of filing ITR has expired, the TDS rates shall be applicable as per below slabs-
For the amount more than Rs.20 lakh but up to Rs. 1 crore
2%
194N And for the amount exceeding Rs. 1 crore 5%
194O For the sale of goods or provision of services by the e-commerce operator through its digital or electronic facility or platform. 1%
194P Tax deduction by specified banks while making payments (pension or interest) to specified senior citizens or age 75 years or more. As per Slab
194Q Payments to residents for the purchase of goods if the aggregate value of goods exceeds Rs 50 lakhs.(TDS is deductible on value exceeding Rs 50 lakhs) 0.1%
Any Other Income 10%

TDS Rates Chart (F.Y.2021-22 A.Y.2022-23) (Not a Domestic company)

This TDS rates chart applicable for financial year from 01-04-2021 to 31-03-2022 and for Assessment Year 2022-23. These TDS rates applicable to Not a Domestic Company. To know more about TDS rates applicable on other assessee please scroll down.

Section Particulars TDS Rates
194B Income by way of lottery winnings, card games, crossword puzzles, and other games of any type 30%
194BB Income by way of horse race winnings 30%
194E Payment to non-resident sportsman (including an athlete) or an entertainer (not a citizen of India) or non-resident sports association. 20%
194G Payments such as commission, etc., on the sale of lottery tickets 5%
194LB Payment in respect of compensation on acquisition of certain immovable property. 5%
194LBA(2) Payment like-
-interest income received or receivable to a business trust from SPV and distribution to its unitholders.
5%
194LBA(2) Payment like-
-dividend income received from SPV by a business trust, in which it holds the entire share capital other than required to be held by the government or government body, and distribution to its unitholders.
10%
194LBA(3) payment in the nature of income in the nature of rental income, out of real estate assets owned directly by such business trust, to unitholders. 40%
194LBB Payment of certain income by an investment fund to a unitholder 40%
194LBC Income from investment in securitisation fund 40%
194LC Payment in the nature of interest for the loan borrowed in foreign currency by an Indian company or business trust against loan agreement or against the issue of long-term bonds*. 5%
194LC *If interest is payable against long term bonds listed in recognised stock exchange in IFSC 4%
194LD Payment of interest on the bond (rupee-denominated) to Foreign Institutional Investors or a Qualified Foreign Investor 5%
195 Payment of any other sum
195 Income by way of LTCG under section 112(1)(c)(iii); 10%
195 Income by way of LTCG under section 112A; 10%
195 Income by way of STCG under section 111A; 15%
195 Any other income by way of LTCG; 20%
195 Interest payable on money borrowed by the government or Indian concern in foreign currency; 20%
195 Income by way of royalty payable by Government or an Indian concern in pursuance of an agreement made by it with the Government or the Indian concern after the 31st day of March, 1976 10%
195 Income from royalty payable to the Indian concern by government or Indian concern in pursuance of an agreement on matters related to industrial policy; 10%
195 A. where the agreement is made after the 31st day of March, 1961 but before the 1st day of April, 1976 50%
195 B. where the agreement is made after the 31st day of March, 1976 10%
195 Income by way of fees for technical services payable by Government or an Indian concern in pursuance of an agreement made by it with the Government or the Indian concern and where such agreement is with an Indian concern, the agreement is approved by the Central Government or where it relates to a matter included in the industrial policy, for the time being in force, of the Government of India, the agreement is in accordance with that policyтАФ
A. where the agreement is made after the 29th day of February, 1964 but before the 1st day of April, 1976
50%
195 B. where the agreement is made after the 31st day of March, 1976 10%
195 i) Any other income 40%
196B Income from units (including long-term capital gain on transfer of such units) to an offshore fund 10%
196C Income from foreign currency bonds or GDR of an Indian company (including long-term capital gain on transfer of such bonds or GDR) 10%
196D Income of foreign Institutional Investors from securities (not being dividend or capital gain arising from such securities) 20%

Surcharge and Health & Education Cess

(a)┬аIn case payment is made to a person, being a resident in India, rate of TDS prescribed above shall not be increased by the surcharge and education cess.

(b)┬аIn case payment is made to a person, being a non-resident, rate of TDS prescribed above shall be further increased by the surcharge and education cess.

Type of assessee Income Surcharge (as a % of the TDS rate) Health and Education Cess (as a % of TDS rate plus surcharge)
Foreign company Up to Rs. 1 crore Nil 4%
More than Rs. 1 crore but up to Rs. 10 crores 2% 4%
More than Rs. 10 crores 5% 4%
Domestic company opting for section 115BAA or 115BAB Any income 10% 4%
Any other Domestic company Up to Rs. 1 crore Nil 4%
More than Rs. 1 crore but up to Rs. 10 crores 7% 4%
More than Rs. 10 crores 12% 4%
Co-operative society opting for section 115BAD Any income 10% 4%
Any other co-operative Society/Firm/LLP/Local Authority Up to Rs. 1 crore Nil 4%
More than Rs. 1 crores 12% 4%
Others Up to Rs. 50 lakhs (including dividend income and income referred to in┬аSection 111A┬аand┬аSection 112A) Nil 4%
More than Rs. 50 lakhs but up to Rs. 1 crore (including dividend income and income referred to in section 111A and section 112A) 10% 4%
More than Rs. 1 crore but upto Rs. 2 crores (including dividend income and income referred to in section 111A and section 112A) 15% 4%
More than Rs. 2 crores but up to Rs. 5 crores (excluding dividend income and income referred to in section 111A and section 112A) 25% 4%
More than Rs. 5 crores (excluding dividend income and income referred to in section 111A and section 112A) 37% 4%
More than Rs. 2 crores (including dividend income and income referred to in section 111A and section 112A) 15% 4%

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