Section
Deductee*
Nature of transaction
Threshold Limit (Rs)
TDS Rate
192
R, NR
Payment of salary
Basic exemption limit of employee
Normal Slab Rates
192A
R, NR
Premature withdrawal from EPF
50,000
10%
Budget 2023: TDS rate for EPF withdrawals without a PAN number is now 20%, from the previous maximum marginal rate
193
R
Interest on securities
Debentures- 5,000
8% Savings (Taxable) Bonds 2003 or 7.75% Savings (Taxable) Bonds 2018- 10,000
Other securities- No limit
10%
Budget 2023:Exemption of TDS on interest from listed debentures has been removed. Therefore, tax has to be deducted on interest on such specified securities.
194
R
Payment of any dividend
5,000
10%
194A
R
Interest from other than interest from securities (from deposits with banks/post office/co-operative society)
Senior Citizens- 50,000
Others- 40,000
10%
194A
R
Interest from other than interest on securities u/s 193 and interest from banks/post office/co-operative society.
For e.g., interest from friends and relatives
5,000
10%
194B
R, NR, FC
Income from lottery winnings, card games, crossword puzzles, and other games of any type
Aggregate income from lottery winnings, card games, crossword puzzles etc- 10,000
Online Gamine- Refer 194BA
30%
194BA
R, NR, FC
Income from online games
Nil
30%
194BB
R, NR, FC
Income from horse race winnings
10,000
Aggregate winnings during a financial year not single transaction
30%
194C
R
Payment to contractor/sub-contractor:-
Single transaction- 30,000
Aggregate transactions- 1,00,000
a) Individuals/HUF
1%
b) Other than Individuals/HUF
2%
194D
R
Insurance commission to:
a) Domestic Companies
15,000
10%
b) Other than companies
15,000
5%
194DA
R
Income from the insurance pay-out, while payment of any sum in respect of a life insurance policy.
1,00,000
5%
194E
NR, FC
Payment to non-resident sportsmen/sports association
No limit
20%
*This rate shall be increased by applicable surcharge and 4% cess
194EE
R, NR
Payment of amount standing to the credit of a person under National Savings Scheme (NSS)
2,500
10%
194F
R, NR
Payment for the repurchase of the unit by Unit Trust of India (UTI) or a Mutual Fund
No limit
20%
194G
R, NR, FC
Payments, commission, etc., on the sale of lottery tickets
15,000
5%
194H
R
Commission or brokerage
15,000
5%
194-I
R
Rent:
194-I(a) Rent on
plant and machinery
2,40,000
2%
194-I(b) Rent on
land/building/furniture/fitting
2,40,000
10%
194-IA
R
Payment in consideration of transfer of certain immovable property other than agricultural land.
50,00,000
1%
194-IB
R
Rent payment by an individual or HUF not covered u/s. 194-I
50,000 per month
5%
194-IC
R
Payment under Joint Development Agreements (JDA) to Individual/HUF
No limit
10
194J
R
Any sum paid by way of fee for professional services
30,000
10%
194J
R
Any sum paid by way of remuneration/fee/commission to a director
30,000
10%
194J
R
Any sum paid for not carrying out any activity concerning any business;
30,000
10%
194J
R
Any sum paid for not sharing any know-how, patent, copyright, etc.
30,000
10%
194J
R
Any sum paid as a fee for technical services
30,000
2%
194J
R
Any sum paid by way of royalty towards the sale or distribution, or exhibition of cinematographic films
30,000
2%
194J
R
Any sum paid as fees for technical services, but the payee is engaged in the business of operation of the call center.
Prior to June 1, 2017, the rate was 10%
30,000
2%
194K
R
Payment of any income for units of a mutual fund, for example, dividend
No limit
10%
194LA
R
Payment in respect of compensation on acquiring certain immovable property
2,50,000
10%
194LB
NR, FC
Payment of interest on infrastructure debt fund to Non-Resident
No limit
5%
*This rate shall be increased by applicable surcharge and 4% cess
194LC
NR, FC
Payment of interest for the loan borrowed in foreign currency by an Indian company or business trust against loan agreement or the issue of long-term bonds
No limit
5%
194LC
NR, FC
Payment of interest for the loan borrowed in foreign currency by an Indian company or business trust against the issue of long-term bonds listed in IFSC
No limit
4%
194LD
NR, FC
Payment of interest on bond (rupee-denominated) to FII or a QFI
No limit
5%
194LBA(1)
R
Certain income distributed by a business trust to its unitholder
No limit
10%
194LBA(2)
NR, FC
Interest income of a business trust from SPV distribution to its unitholders
No limit
5%
194LBA(2)
NR, FC
Dividend income of a business trust from SPV, in which it holds the entire share capital exempt the capital held by the government, and distribution to its unitholders
No limit
10%
194LBA(3)
NR
Rental income payment of assets owned by the business trust to the unitholders of such business trust
No limit
30%
194LBA(3)
FC
Rental income payment of assets owned by the business trust to the unitholders of such business trust
No limit
40%
194LBB
R
Certain income paid to a unitholder in respect of units of an investment fund
No limit
10%
194LBB
NR
Certain income paid to a unitholder in respect of units of an investment fund
No limit
30%
194LBB
FC
Certain income paid to a unitholder in respect of units of an investment fund
No limit
40%
194LBC
R
Income from investment in securitisation fund received to an individual and HUF
No limit
25%
194LBC
NR
Income from investment in securitisation fund received to a domestic company
No limit
30%
194LBC
FC
Income from investment in securitisation fund received to a foreign company
No limit
40%
194M
R
Certain payments by Individual/HUF not liable to deduct TDS under Section 194C, 194H, and 194J
50,00,000
5%
194N
R, NR
Cash withdrawal exceeding a certain amount
Co-operative society: 3 Crore
Others: 1 crore
2%
194N
R, NR
Cash withdrawal in case person not filing ITR for last three years and the original ITR filing due date expired
- 20 lakh to 1 crore
-1 crore
2%
5%
*If cash is withdrawn by a co-operative society the limit shall be Rs 3 Crore instead of Rs 1 Crore
194O
R
Payment for the sale of goods or provision of services by the e-commerce operator through its digital or electronic facility or platform.
5,00,000
1%
5% in case PAN is not furnished
194P
R
Payment of pension or interest to specified senior citizens of age 75 years or more
Basic exemption limit of senior citizens or super senior citizens
Normal tax slab rates
194Q
R
Payments for the purchase of goods
50,00,000
0.10%
194R
R
Perquisite or benefit to a business or profession
20,000
10%
194S
R
TDS on the transfer of virtual digital assets
Specified persons: Individual or a HUF not having income from business or profession OR
Individual or a HUF having sales from business or profession less than
Specified Persons- 50,000
Others- 10,000
1%
195
NR
Income on investments made by NRI citizen
No limit
20%
195
NR
Income by way of LTCGreferred to in section 115E in the case of NRI
No limit
10%
195
NR, FC
Income by way of LTCG under section 112(1)(c)(iii)
No limit
10%
195
NR, FC
Income by way of LTCG under section 112A
No limit
10%
195
NR, FC
Income by way of STCG under section 111A
No limit
15%
195
NR, FC
Any other income by way of LTCG
No limit
20%
195
NR, FC
Interest payable on money borrowed by the government or Indian concern in foreign currency
No limit
20%
195
NR, FC
Income from royalty payable by the Indian concern or the government, for the copyright in a subject referred in the first proviso of section 115A or computer software referred to in the second proviso of section 115A
No limit
20%
195
NR
Income from royalty payable by government or Indian concern in pursuance of an agreement on matters included in the industrial policy
No limit
20%
195
FC
Income from royalty payable by government or Indian concern in pursuance of an agreement on matters included in the industrial policy
If the agreement for such royalty payment is entered in between 31st March 1961 and 1st April 1976
No limit
50%
195
FC
Income from royalty payable by government or Indian concern in pursuance of an agreement on matters included in the industrial policy
If the agreement for such royalty payment is entered after 31st March 1976
No limit
20%
195
NR
Income from technical fees payable by government or Indian concern in pursuance of an agreement on matters related to industrial policy
No limit
20%
195
FC
Income from technical fees payable by government or Indian concern in pursuance of an agreement on matters related to industrial policy
If the agreement for such payment is entered in between 29th February 1964 and 1st April 1976
No limit
50%
195
FC
Income from technical fees payable by government or Indian concern in pursuance of an agreement on matters related to industrial policy
If the agreement for such payment is entered after 31st March 1976
No limit
20%
195
NR
Any other income
No limit
30%
195
FC
Any other income
No limit
40%
196B
NR, FC
Income (including LTCG) from units of an offshore fund
No limit
10%
196C
NR, FC
Income (including LTCG) from foreign currency bonds or GDR of an Indian company
No limit
10%
196D
NR, FC
Income (excluding dividend and capital gain) from Foreign Institutional Investors.
No limit
20%
206AB
R
Payment to non-filers, i.e. those who have not filed their income tax return in the last year
Budget 2023:
Non-filers do not include:
- People who are not required to file their ITRs
- NRs who do not have a PE in India
No limit
- 2 times the rate given in the Income Tax Act or Finance Act or
- 5%, whichever is higher
206AA
R, NR, FC
TDS rate in case of Non availability of PAN
No limit
Rates specified above or 20%, whichever is higher
