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TDS rate: TDS rate chart for 2022

[ecis2016.org] Know everything about TDS rate chart for 2022.

Entities, responsible to deduct TDS or Tax Deducted at Source under the Income Tax (I-T) law, must deduct a certain portion of the payment involved and submit it to the I-T Department. The TDS rate on income may vary between 10% and 30%.

Basically, the TDS rate varies from one transaction to another. This guide will help you understand the TDS rate on transactions.

For the uninitiated, those making payments like salary, rent, payment for house purchase, etc., are required to collect TDS and pay it to the I-T Department on behalf of the payees. Those paying perks, commissions, dividends, payment earned for various services, fixed deposits, etc., should also deduct TDS.

Also read our guide to understand all about TDS and TDS online payment.

 

TDS rate chart 

Applicable section Nature of payment TDS rate for individual or HUF, as a percentage of the transaction value
192 Salary According to income tax slab
192A Premature withdrawal from EPF 10%
193 Interest on securities 10%
194 Payment of any dividend 10%
194A Interest from sources other than interest on securities under Section 193 and interest from banks/post office/co-operative society 10%
194B Income earned from card games, lotteries and other games 30%
194BB Income earned from horse racing 30%
194C Payment to contractor/sub-contractor 1%
194EE Deposits made to National Savings Scheme 10%
194F Payment for repurchase of units by Unit Trust of India or mutual funds 20%
194G Income from lottery tickets sales commissions and/or other transactions 5%
194H Commission or brokerage 5%
194-I Rent on plant and machinery 2%
194-I Rent on land or buildings or furniture or fittings 10%
194-IA Payments made for the purchase of immovable property other than agricultural land 1%
194-IB Rent payment by an individual/ HUF not covered under Section 194-I 5%
194-IC Payment under joint development agreements 10%

[ecis2016.org] All about TDS on sale of property under Section 194-IA

Read about  :  TDS full form 

 

TDS rate chart for non-resident Indians (NRIs)

Applicable section Income type Percentage of TDS to be deducted from the transaction value
192 Salary According to tax slab
192A Premature withdrawal from EPF 10%
194B Income earned from card games, lotteries and other games 30%
194BB Income earned from horse racing 30%
 

194E

Payment to NRI sportsman or non-resident sports association 20%
194EE Deposits made to National Savings Scheme 10%
194F Payment for repurchase of units by Unit Trust of India or mutual funds 20%
194G Income from lottery tickets sales, commissions and/or other transactions 5%
194LB Compensation payment for acquisition of certain immovable property 5%
194LBC

 

Income from investments in securitisation fund 30%
195 Payment of any other sum to a non-resident 20%
  Income by way of long-term capital gains referred to in Section 115E in case of an NRI citizen 10%
  Income by way of long-term capital gains referred to in sub-clause (iii) of clause (c) of sub-Section (1) of Section 112 10%
  Income by way of long-term capital gains as referred to in Section 112A 10%
  Income by way of short-term capital gains referred to in Section 111A 15%
  Any other income by way of long-term capital gains [not being long-term capital gains referred to in clauses 10(33), 10(36) and 112A] 20%
  Income by way of interest payable by the government or an Indian concern on amount borrowed or debt incurred by the government or the Indian concern in foreign currency (not being income by way of interest referred to in Section 194LB or Section 194LC) 20%
  Income by way of royalty payable by the 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 I-T 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 I-T Act, to an Indian resident 10%
  Income by way of royalty not being royalty of the nature referred to point above payable by the 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 Indian government, the agreement is in accordance with that policy 10%
  Income by way of fees for technical services payable by the 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 policy 10%
  Any other income 30%

Source: Income-Tax Department 

[ecis2016.org] All about Form 15G. Also check our guide on TDS return due date

Source: https://ecis2016.org/.
Copyright belongs to: ecis2016.org

Debora Berti

Università degli Studi di Firenze, IT

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