TaxTMI 
TaxTMI 
TaxTMI 
Rate of Tax Deduction at Source (TDS Chart) for the Payment made to resident (Tax Year 2026-27)
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....icies). Any Person 2% 20,000/- 393(1) (ii) Any income by way of commission [not being insurance commission referred to in serial number 2(i)] or brokerage. No TDS Deduction - Commission or brokerage payable by Bharat Sanchar Nigam Limited (BSNL) or Mahanagar Telephone Nigam Limited (MTNL) to their public call office (PCO) franchisees. Specified Person 2% 20,000/- 3. In case Payment of Rent Section Nature of Income or sum Payer TDS Rate Threshold Limit 393(1) (i) Any income by way of rent. Time of Deduction - (a) credit of rent to the account of the payee; or (b) payment thereof in cash or by way of a cheque or a draft or any other mode, whichever is earlier, for the last month of the tax year or the last month of tenancy. Person other than specified person. 2% Rs. 50,000/- for a month or part of a month. 393(1) (i) Any income by way of rent. No TDS Deduction - Income arising from the renting, leasing, or letting out of any real estate asset, which is owned directly by a business trust, and credited or paid to a Real Estate Inves....
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....r than fifty lakh rupees. 5. In case Income From Capital Market Section Nature of Income or sum Payer TDS Rate Threshold Limit 393(1) (i) Any income in respect of- (a) units of Mutual Fund Registered under SEBI Act, 1992 or Regulation made there under; or (b) Unit of any Mutual Fund set up by a public sector bank or a public financial institution or authorised by the Reserve Bank of India. (c) units from the Administrator of the specified undertaking; or (d) units from the specified company. No TDS Deduction - In case If income is of the nature of capital gain. Any Person 10% Rs. 10,000/- 393(1) (ii) Any distributed income referred to in section 223, being of the nature (a) interest received or receivable from a special purpose vehicle; or (b) dividend received or receivable from a special purpose vehicle. or (c) renting or leasing or letting out any real estate asset owned directly by real estate investment trust.. payable to a unitholder of a Business Trust. No TDS Deduction - Dividend Income received or r....
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....ia with the main object of carrying on business of long-term finance for construction or purchase of houses in India for residential purposes and is eligible for deduction under section 32(e), and the person (i.e. Payer) has not adopted core banking solutions, the threshold limit shall be computed with reference to the income credited or paid by a branch of such person. Note 2 -The person responsible for making the payment referred to in serial number 6(ii) and (iii) of this Table, may at the time of making any deduction, increase or reduce the amount to be deducted for the purpose of adjusting any excess or deficiency arising out of any previous deduction or failure to deduct during the tax year. Note 3 - Any Income by way of Interest payable on or to (a) Interest payable on -- (i) National Development Bonds; (ii) such debentures, issued by such institution or authority or any other person as the Central Government may, by notification, specify in this behalf; (iii) any security of the Central Government or a State Government, other than-- (A) 8% Savings (Taxable) Bonds, 2003; or (B) 7.75% Savings ....
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....) with a co-operative society, other than a co-operative society or bank referred to in sub-clause (iii), engaged in the business of banking, except when, - (A) where the total sales, gross receipts or turnover of the co-operative society exceed fifty crore rupees during the tax year immediately preceding the tax year in which such interest is credited or paid; and (B) the amount or aggregate of amounts of interest credited or paid exceeds of Rs. 1,00,000/- or 50,0000/- threshold limit mentioned above in serial number (ii) (c) interest income credited or paid- (i) by the Central Government under any provision of this Act or the Income-tax Act, 1961, or the Estate Duty Act, 1953, or the Wealth-tax Act, 1957, or the Gift-tax Act, 1958, the Companies (Profits) Surtax Act, 1964, or the Interest-tax Act, 1974; (ii) in respect of deposits under any scheme framed by the Central Government and notified by it in this behalf; (iii) in respect of deposits (other than time deposits made on or after the 1st July, 1995) with a banking company; (iv) by way of interest on the compensation amount a....
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....of such sum in case of- • (i) fees for technical services (not being a professional services); or • (ii) royalty in the nature of consideration for sale, distribution or exhibition of cinematographic films; or • (iii) payee, engaged only in the business of operation of call centre; (b) 10% of such sum in cases other than (a). (i) for (a), (b), (d) and (e) of Colum nature of income or sum: Rs. 50,000. (ii) for (c) of Colum nature of income or sum: Nil. Note 1 - In serial number 6(i), if any sum is paid or credited for carrying out any work specified in section 402(47)(e), tax shall be deducted at source- • (a) on the invoice value excluding the value of material, if such value is specified separately in the invoice; or • (b) on the whole of the invoice value, if the value of material is not specified separately in the invoice. Note 2 - Payments to contractors [ Serial Number 7(i) ] (a) Where-- • (i) any sum credited or paid or likely to be credited or paid during the tax year to the account of a contractor during the course of business of plying, hiring ....
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....d Rs.10,000. Note - The tax shall be deducted at source before making any distribution or payment of dividend. Any domestic company. 10% Nil 9. Other cases Section Nature of Income or sum Payer TDS Rate Threshold Limit 393(1) (i) Any sum under a life insurance policy, including the sum allocated as bonus on such policy, other than the amount not includible in the total income under Schedule II (Table: Sl. No. 2). Any person 2% on income comprised in such sum Rs. 1,00,000/- 393(1) (ii) Any sum exceeding fifty lakh rupees for purchase of any goods. Any person, being a buyer. 0.1% As per Note 1. 393(1) (iii) Total income of a specified senior citizen after giving effect to deduction allowable under Chapter VIII and rebate allowable under section 156. Specified bank. Rates in force. As applicable. 393(1) (iv) Any benefit or perquisite, whether convertible into money or not, arising from business or the exercise of a profession of any resident. Specified person. 10% of value or aggregate of values of such benefit or perquisite.....
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....e-commerce operator for- (i) hosting advertisements; or (ii) providing any other services, which are not in connection with the sale or services referred to in this serial number. Note 4 - In case of a transaction on which provisions of serial number 9(v) are applicable along with the provisions of serial number 8(vi) for deduction of tax, then irrespective of anything contained in Note 3, tax on such transaction shall be deducted only under the provisions of serial number 9(vi). Note 5 - The provisions of serial number 9(iii) shall take precedence over any other provisions of this Chapter and tax shall be deducted under this provision. Note 6 - For serial numbers 9(iv) and (vi),- (a) where the consideration or, benefit or perquisite provided, as the case may be,- (i) is in exchange of another virtual digital asset where there is no part in cash, in respect of serial number 9(iv); or (ii) is wholly in kind; or (iii) is partly in kind and partly in cash, but such part in cash is not sufficient to meet the liability of deduction of tax in respect of the whole of such payment or benefit or perq....
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.... and (9) of Section 393. Exception of Section 393(1) [ Section 393(5) ] Irrespective of anything contained in this Chapter, the tax shall not be deducted by any person from any amount payable to-- • (a) the Government; or • (b) the Reserve Bank of India; or • (c) a corporation established by or under a Central Act which is, under any law in force, exempt from income-tax on its income; or • (d) units of Mutual Fund Registered under SEBI Act, 1992 or Regulation made there under; or • (e) Unit of any Mutual Fund set up by a public sector bank or a public financial institution or authorised by the Reserve Bank of India. where such amount is payable to it by way of- • (A) interest; or • (B) dividend in respect of any securities or shares owned by it or in which it has full beneficial interest; or • (C) any other income accruing or arising to it. Declaration for No Deduction at Source [ Section 393(6) ] The deduction of tax shall not be made under provisions referred to in column C of the Table below, in the case of a person as specified in column B, if such pe....