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<h1>Tax Deduction Rules Clarify Interest Payment Withholding Rates and Exemptions Under Section 194A of Income Tax Act</h1> Legal document provides comprehensive guidelines for Tax Deduction at Source (TDS) on interest payments under Section 194A of Income Tax Act. Key aspects include: entities liable to deduct TDS, threshold limits for deduction, applicable rates (10% with PAN, 20% without PAN), and specific exceptions for various financial institutions and scenarios. The provisions cover different types of interest payments, exemptions for senior citizens, and special cases involving banking companies, cooperative societies, and specific financial transactions. Detailed rules outline conditions for TDS applicability across different financial entities and payment types.