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
  • Automatically store challans on a single dashboard
  • Collaborate with CA’s to approve payments seamlessly

Choose RazorpayX Tax Payments and never miss out on your monthly TDS payments.


Pro Tip:
 
You can experience the ease of paying TDS on RazorpayX even without signing up. Try out our new Free TDS payment tool, today!

Liked this article? Subscribe to our weekly newsletter for more.


Suhani Jain
Author Suhani Jain

Suhani is a Content Marketer at RazorpayX, and she is passionate about all things related to reading, writing, and food. 

Write A Comment