TDS (Tax deducted at source) is a type of tax introduced by the Income Tax Department of India to minimise tax evasion. It is applicable on various payments ranging from contractor payments, salary, commission and more.
The TDS rates are predecided by the government under the Income Tax Act.
In this blog, we share the TDS rate chart for the financial year 2021-22 and assessment year 2022-23 to help you calculate and pay TDS error-free.
TDS Rate Chart for FY 2021-22
| Section | Nature of Payment | Threshold (Rs.) | Individual/ HUF TDS Rate (%) |
Others
TDS Rate (%) |
| 192 | Salaries | – | As per the employee’s IT declaration | – |
| 192A | Premature withdrawal from EPF | 50000 | 10 | – |
| 193 | Interest on securities | 10000 | 10 | 10 |
| 194 | Dividends | 5000 | 10 | 10 |
| 194A | Interest (Banks) | 40000 | 10 | 10 |
| 194A | Senior citizen | 50000 | 10 | – |
| 194C | Single contractor payment | 30000 | 1 | 2 |
| 194C | Aggregate contractor payment | 1 Lakh | 1 | 2 |
| 194D | Insurance Commission (15G-15H allowed) | 15000 | 5 | 10 |
| 194DA | Life insurance policy | 1 Lakh | 1 | 1 |
| 194EE | NSS | 2500 | 10 | 10 |
| 194F | Repurchase units by MFs | – | 20 | 20 |
| 194G | Commission – lottery | 15000 | 5 | 5 |
| 194H | Commission / Brokerage | 15000 | 5 | 5 |
| 194I(a) | Rent of Plant / Machinery / Equipment | 2.40 Lakh | 2 | 2 |
| 194I(b) | Rent of Land Building & Furniture | 2.40 Lakh | 10 | 10 |
| 194IA | Transfer of certain immovable property other than agricultural land | 50 Lakh | 1 | 1 |
| 194IB | Rent by Individual / HUF (w.e.f 01.06.2017) | 50000/PM | 5 | – |
| 194IC | Payment under specified agreement applicable for F.Y: 2017-18 onwards | – | 10 | 10 |
| 194J (a) | Fees-tech services, call centre, royalty for sale etc. | 30000 | 2 | 2 |
| 194J (b) | Fee for professional service or royalty etc. | 30000 | 10 | 10 |
| 194K | Payment of dividends by mutual funds | 5000 | 10 | 10 |
| 194LA | Compensation on the transfer of certain immovable property other than agricultural land | 2.50Lakh | 10 | 10 |
| 194LA | Immovable property (TDS exempted under RFCTLARR Act (w.e.f 01.04.2017) | – | – | – |
| 194LB | Income on infrastructure debt fund(non-resident) | – | 5 | 5 |
| 194LBA | Income from a business trust (applicable from 01.10.2014) | – | 10 | 10 |
| 194LBA | Income from a business trust to non-resident (applicable from 01.10.2014) | – | 5 | 5 |
| 194LD | Interest on certain bonds and Govt. securities (from 01.06.2013) | 5 | 5 | |
| 194M | Payment to commission or brokerage by individual & HUF | 50 Lakh | 5 | 5 |
| 194N | Cash withdrawal exceeding 1 crore during the previous year from 1 or more accounts with a bank or co-operative society (w.e.f 01.09.2019) | 1 Cr | 2 | 2 |
| 1940 | TDS on e-commerce participants | 5 Lakh | 1%(01.10.2020) | 1% (01.10.2020) |
| 194Q | Purchase of Goods | 50 Lakh | 0.10%(01.07.2021) | 0.10%(01.07.2021) |
Automate TDS Payments for your business
It’s crucial for businesses to pay monthly TDS to the government under various categories for salaries, vendor payments, and more. On average, businesses spend hundreds of hours every year manually calculating and depositing TDS on the government portal.
With RazorpayX, Indian businesses can pay TDS in less than a minute and focus more on their business growth.
- Save manual effort using prefilled tax forms
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Choose RazorpayX Tax Payments and never miss out on your monthly TDS payments.
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