Tax Deducted at Source(TDS)

TDS on Salary (Section 192 of the Income

Tax Act, 1961)
TDS Rate – It is the slab rate applicable to a salaried
individual based on his/her estimated income.
A deductee is any resident or NRI who is liable to pay tax
.
A deductor is any person (employer) who deducts tax
from an employee’s salary.

TDS on Interest of Securities (Section 193 of the Income Tax Act,

1961)
A deductee is any resident of India who is liable to pay tax.

 A deductor is any person (employer) who deducts tax.

 The rate of TDS applicable is 10%.
 The maximum limit for TDS on interest on securities is Rs.2,500.

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 TDS on Dividend (Section 194 of the
Income Tax Act, 1961)
A deductee is any resident or non-resident of India


who is liable to pay tax.

A deductor is any person (employer) who deducts
tax.
The rate of TDS shall be 10%.

TDS on Interest Apart from the interest mentioned in Section 193 (Section 194)

A deductor is any person who is liable to have their



accounts audited.
A deductee is any resident of India who is liable to


pay tax.
The rate of TDS applicable is 10%.
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 TDS on Winnings from Crossword Puzzle or Lottery or
Other Games (Section 194B/Section 194BB)
A deductor is any person who deducts tax.


A deductee is any person who is liable to pay tax.



The rate of TDS applicable is 30%.



TDS on Payment for Works Contract (Section 194C of the Income Tax Act, 1961

A deductor is any person who is liable to have his/her books



audited.
 A deductee is any resident of India who is liable to pay tax.
The rate of TDS applicable is 1% for individuals and HUFs, and


2% for other assessees.

The maximum limit for TDS is Rs.30,000 for single contracts,


and the annual aggregate amount shall be limited to

Rs.75,000.

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 TDS on Insurance Commission
A deductee is any resident or non-resident of India who
is liable to pay tax.
 A deductor is any person (employer) who deducts tax.
 The rate of TDS applicable is 10%.
 The maximum limit of TDS is Rs.20,000.

TDS on Payment for Works Contract (Section 194C of the Income Tax Act, 1961)

 Any person who deducts the tax is called a deductor.

 A deductee is any NRI.
 The rate of TDS applicable is 10%.

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 TDS on Commission on Sale of Lottery
Tickets
 A deductor is any person who deducts tax.
 A deductee is any person who is liable to pay tax.
 The rate of TDS applicable is 10%.
 The maximum limit is Rs.1,000.

TDS on Brokerage or Commission

A deductor is any person who is liable to have his/her



books audited.
A deductee is any resident of India who is liable to pay
tax.
The rate of TDS applicable is 10%.


The maximum limit is Rs.5,000.



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TDS on Rent (Section 194I of the Income Tax
Act, 1961)

A deductor is any person who is liable to have



his/her books audited.

A deductee is any resident of India who is liable
to pay tax.
The rate of TDS applicable is 2% for the use of
plant and machinery, and 10% for the use of
land, building, and furniture and fittings.
The maximum limit is Rs.1.8 lakh.


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TDS on Fees for Royalty, Professional Service,
Technical Service or Any Non-Compete Fees (Section
194J of the Income Tax Act, 1961)
A deductor is any person who is liable to have


his/her books audited.

A deductee is any resident of India who is liable to


pay tax.
 The rate of TDS applicable is 10%.
 The maximum limit is Rs.30,000.
Payment on Compensation of Compulsory Acquisition of any
Immovable Property (Section 194LA of the Income Tax Act, 1961)
A deductor is any person who deducts tax.
A deductee is any resident of India who is liable to pay tax.
The rate of TDS applicable is 10%.
The maximum limit is Rs.1 lakh.

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 TDS on Any Sum Paid to NRIs or Foreign
Companies
 A deductor is any person who deducts tax.
 A deductee is any NRI or foreign company.
 The rate applicable shall be the rate in force.

No TDS on Specified Persons

 The Government of India
 The Reserve Bank of India
 Mutual Funds specified under Section 10(23D)
Corporation established by or under a Central Act


which is exempt from income tax

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Due Date to File TDS Returns

Period (Quarter) Due Date

April 1 to June 30, 2017 July 31, 2017

July 1 to September 30 October 31, 2017

October 1 to December 31 January 31, 2018

January 1 to March 31 May 31, 2018

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