TDS Chart contains summary of TDS Sections of different Section

 

How to Read TDS Chart

Example

Section no

Description

Cutoff

Rate of TDS

Examples

194J

Professional Service/Technical/Royalty/Non Compete fees

30000 p.a

10%

Audit fees/Bills of professionals like CA/CWA/CS, or technical service providers or consultancies covered.Employees on contract which are white collared covered here

 

 

It means that on professional and technical charges bill,TDS@10% to be deducted if the annual amount is more than 30000

 

Suppose Bill of Professional Charges of Rs 4000 per month from CA from 1 April

Annual amount payable=4000*12=48000

Since, annual amount is more than 30000,TDS to be deducted @ 10% on 4000 currently paid

TDS=4000*10%=400

 

Suppose in Q1,contract for Professional Services started on 1 January

Annual amount payable till 31 March=4000*3=12000

Since, annual amount is less than 30000, TDS to not to be deducted

TDS=0

 

 

 

 

Important Sections

Section no

Description

Cutoff

Rate of TDS

Examples

194I

Rent of

180000 p.a

10%

Office rent/godown rent/guesthouse rent

Land and Building or Furniture

Others like Plant and Machinery

2%

Generator rent, machinery hire charges

194J

Professional Service/Technical/Royalty/Non Compete fees

30000 p.a

10%

Audit fees/Bills of professionals like CA/CWA/CS, or technical service providers or consultancies covered. Employees on contract which are white collared covered here

194H

Commission/Brokerage

5000 p.a 15000 p.a

10%   5%

Commission to broker/sales agent etc

194J(1)(b)(a)

Payment to directors other than salary

0

10%

Sitting fees to director/any payment other than salary

194A

Interest paid by Banks on FD/RD

10000 p.a

10%

Savings bank interest not covered, only interest on fixed deposits and recurring deposits covered

194 A

Interest paid by Others on Loan etc

5000 p.a

10%

Interest on loan taken from banks or financial institutions not covered, only interest on loan from friends/relatives/related companies covered

194 IA

Purchase of Immovable property

5000000

1%

On purchase of property more than 50 lacs, buyer has to deduct 1% and pay balance to party

194C

Payment to Contractors

30000 p.a or 75000 100000 annual

1% for Individual and HUF (2% For Others)

All other services like payment to Security guard/courier/maintenance agency/cab service/advertisement/employees on contract which do blue collared or manual work like peon/driver etc

192A

Withdrawal of Pf before 5 Years

30000 50000 p.a

10%

If we withdraw our PF for before 5 years, then Pf department deduct 10% TDS.

194G

Commission on Sale of lottery tickets

1000

15000 p.a

 10%

  5%

 

194LA

Payment of  compensation or enhanced compensation on compulsory acquisition of immovable property

200000

250000

p.a

   

194EE

Payments in respect of deposits under national Savings Scheme

    

  10%

  5%

 
  1. Income Tax
  2. Amendments Income Tax for May 2017 Exams
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Davneet Singh
Davneet Singh is a graduate from Indian Institute of Technology, Kanpur. He has been teaching from the past 7 years. He provides courses for Mathematics and Science from Class 6 to 12. You can learn personally from here https://www.teachoo.com/premium/maths-and-science-classes/.
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