Tax Deducted at Source (TDS) is a system where the person making a payment deducts tax at source and deposits it with the government. TDS applies to salary, interest, rent, professional fees, contractor payments, commission, etc. Current financial year: FY 2024-25 (AY 2025-26).
📊 TDS Rates & Sections (FY 2024-25)
Section
Payment Type
TDS Rate
Threshold
192
Salary / Pension
As per slab
Basic exemption
194A
Interest (Bank)
10%
₹40,000 (₹50,000 SC)
194C
Contractor
1% / 2%
₹30,000/contract
194I
Rent - Land/Building
10%
₹2,40,000
194J
Professional Fees
10%
₹30,000
194D
Insurance Commission
5%
₹15,000
194H
Commission / Brokerage
5%
₹15,000
📋 Income Tax Slabs (New Regime FY 2024-25)
Annual Income
Tax Rate
Up to ₹3,00,000
0%
₹3,00,001 - ₹6,00,000
5%
₹6,00,001 - ₹9,00,000
10%
₹9,00,001 - ₹12,00,000
15%
₹12,00,001 - ₹15,00,000
20%
Above ₹15,00,000
30%
Note: Health & Education Cess 4% applies on total tax. Surcharge for income above ₹50 lakh.
💡 How to Use This Calculator
Select income/payment type (Salary, Interest, Rent, Contractor, etc.)
Enter the payment amount (for salary, enter monthly salary)
Select PAN availability (without PAN, TDS rate doubles)
Results show TDS amount, net payable, and effective rate
Check threshold limits - TDS applies only above specified limits
📌 Important TDS Rules
PAN Mandatory: TDS rate is 20% if PAN not provided
Form 15G/15H: Senior citizens can submit to avoid TDS on interest
TDS Return: Deductors must file quarterly (Form 24Q, 26Q, 27Q)
TDS Certificate: Form 16 (salary), Form 16A (others)
Due Date: TDS must be deposited by 7th of next month
❓ FAQ
❓ What is the TDS rate for salary? ▼
TDS on salary is based on income tax slabs: 0% up to ₹3L, 5% for ₹3-6L, 10% for ₹6-9L, 15% for ₹9-12L, 20% for ₹12-15L, 30% above ₹15L + 4% cess.
❓ What is the TDS rate on bank interest? ▼
Under Section 194A: 10% on interest exceeding ₹40,000/year (₹50,000 for senior citizens). Without PAN, TDS is 20%.
❓ What is the TDS rate on rent? ▼
Under Section 194I: 10% on rent for land/building. No TDS if annual rent is below ₹2,40,000.
❓ What happens if I don't provide PAN? ▼
Without PAN, TDS is deducted at 20% (for most sections) instead of the normal rate.
❓ How to avoid TDS on interest? ▼
Submit Form 15G (below 60) or Form 15H (senior citizens) to the bank if income is below taxable limit.
❓ TDS vs Income Tax difference? ▼
TDS is tax deducted at source from payments. Income Tax is the final liability on total annual income. TDS is adjusted against final tax when filing ITR.