Deduct, deposit, and file TDS correctly.
Probic manages TDS compliance across deductions, challans, forms, and quarterly returns.
What is TDS?
Tax Deducted at Source is the process where responsible entities deduct tax from eligible payments and deposit it with the government within specified timelines.
Who needs to file TDS returns?
Employers
Deducting TDS on salaries paid to employees.
Banks & Financial Institutions
Deducting TDS on interest payments above thresholds.
Businesses & Firms
Making payments to contractors, professionals, rent, commission, and more.
TDS Forms
As per Finance Act 2024-25 (AY 2025-26). Where PAN is not furnished, TDS is deducted at 20% or twice the applicable rate, whichever is higher.
Form 24Q - Salary & Employment
| Form | Nature of Payment | TDS Rate | Threshold |
|---|---|---|---|
| 24Q | TDS on salaries (resident employees) | Slab rates | ₹2.5L p.a. |
Form 26Q - Non-Salary Payments to Residents
| Section | Nature of Payment | TDS Rate | Threshold |
|---|---|---|---|
| 192A | Premature EPF withdrawal | 10% | ₹50,000 |
| 193 | Interest on securities | 10% | ₹10,000 |
| 194 | Dividend | 10% | ₹5,000 |
| 194A | Interest other than securities (bank FD etc.) | 10% | ₹40,000 |
| 194B | Winnings from lottery / crossword puzzle | 30% | ₹10,000 |
| 194BA | Winnings from online games | 30% | No threshold |
| 194BB | Winnings from horse races | 30% | ₹10,000 |
| 194C | Payments to contractors / sub-contractors | 1% / 2% | ₹30,000 / ₹1L |
| 194D | Insurance commission | 5% | ₹15,000 |
| 194DA | Payment under life insurance policy | 5% | ₹1,00,000 |
| 194E | Payments to non-resident sportsmen/associations | 20% | — |
| 194EE | Payments from NSS deposit | 10% | ₹2,500 |
| 194F | Repurchase of units by MF / UTI | 20% | — |
| 194G | Commission on lottery tickets | 5% | ₹15,000 |
| 194H | Commission or brokerage | 5% | ₹15,000 |
| 194I(a) | Rent - plant, machinery, equipment | 2% | ₹2,40,000 p.a. |
| 194I(b) | Rent - land, building, furniture | 10% | ₹2,40,000 p.a. |
| 194IA | Transfer of immovable property (buyer deducts) | 1% | ₹50,00,000 |
| 194IB | Rent by individual / HUF (not u/s 44AB) | 5% | ₹50,000/month |
| 194IC | Payment under Joint Development Agreement | 10% | — |
| 194J(a) | Fees for technical services / call centre | 2% | ₹30,000 |
| 194J(b) | Fees for professional services / royalty | 10% | ₹30,000 |
| 194K | Income from mutual fund units | 10% | ₹5,000 |
| 194LA | Compensation on compulsory acquisition of property | 10% | ₹2,50,000 |
| 194LB | Interest from infrastructure debt fund | 5% | — |
| 194LC | Interest from foreign currency borrowings | 5% | — |
| 194LD | Interest on govt. securities (FII/QFI) | 5% | — |
| 194M | Payment by individual/HUF to contractor/professional | 5% | ₹50,00,000 |
| 194N | Cash withdrawal from bank | 2% | ₹1 Cr (₹20L if no ITR) |
| 194O | TDS on e-commerce transactions | 1% | ₹5,00,000 |
| 194P | TDS on senior citizen (75+ yrs) - no ITR needed | Slab rates | — |
| 194Q | Purchase of goods (buyer deducts) | 0.1% | ₹50,00,000 p.a. |
| 194R | Benefits / perquisites to business (non-cash) | 10% | ₹20,000 |
| 194S | Payment for transfer of virtual digital assets (crypto) | 1% | ₹10,000 / ₹50,000 |
Form 27Q - Payments to Non-Residents
| Section | Nature of Payment | TDS Rate | Threshold |
|---|---|---|---|
| 195 | Any sum payable to non-resident (interest, royalty etc.) | Rates in force | As applicable |
| 196A | Income from foreign currency units / MF | 20% | — |
| 196B | Income from offshore funds | 10% | — |
| 196C | Income from foreign currency bonds / GDRs | 10% | — |
| 196D | Income of FIIs from securities | 20% | — |
Note: DTAA relief may reduce rates for non-residents. Surcharge and Health & Education Cess (4%) apply as per the applicable slab.
Quarterly Due Dates
Filing on time avoids interest and penalties.
Apr - Jun
Jul - Sep
Oct - Dec
Jan - Mar
Outsource your TDS compliance
From challan creation to quarterly filing, Probic keeps your TDS compliance on track.
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