🇮🇳 India
TDS Calculator India
The TDS calculator estimates tax deducted at source in India for salary, rent, professional fees, contractor payments, FD interest, commission, and property purchase. Select payment type, amount, PAN availability, and recipient type where relevant to see TDS rate, section number, TDS amount, and net payment. It includes important thresholds and current rate notes for common FY 2024-25 and later compliance use cases.
How to use
- Select the payment category and Income-tax section.
- Enter gross payment amount in rupees.
- Choose whether valid PAN is available.
- For contractor payments, select individual/HUF or company/other recipient.
- Calculate TDS amount and net payable amount before accounting entry or payment.
Formula
Net payment = Payment amount − TDS
No PAN: higher of applicable rate, rate in force, or 20% in many cases
TDS is deducted at the time of credit or payment depending on the section. Each section has its own rate, threshold, deductor category, and timing rule. For example, professional fees under Section 194J commonly use 10%, contractor payments under Section 194C use 1% for individual/HUF and 2% for others, and property purchase under Section 194IA uses 1% when consideration crosses ₹50,00,000.
If PAN is not furnished, Section 206AA can require deduction at a higher rate, commonly 20%, subject to section-specific limits. Salary TDS under Section 192 is not a flat rate; it is based on estimated annual tax after deductions and regime selection. This calculator uses simplified current-rate assumptions for planning and should be cross-checked with the Income-tax Act, rules, and latest Finance Act changes before filing returns.
Worked example
A company pays professional fees of ₹1,00,000 to a resident consultant with PAN.
Section 194J TDS at 10% is ₹10,000, so net payment is ₹90,000.
If PAN is not available, the calculator applies 20% and TDS becomes ₹20,000.
Major TDS sections, rates, and thresholds
| Section | Payment | Rate | Common threshold |
|---|---|---|---|
| 192 | Salary | Slab based | Taxable salary |
| 194IB | Rent by individual/HUF | 2% current; 5% before change | Above ₹50,000/month |
| 194J | Professional fees | 10% | ₹50,000/year |
| 194C | Contractor | 1% / 2% | ₹30,000 single or ₹1,00,000 aggregate |
| 194A | Bank interest | 10% | ₹40,000 non-senior |
| 194H | Commission | 5% | ₹15,000/year |
| 194IA | Property purchase | 1% | ₹50,00,000 |
| 194M | Payments by individual/HUF | 2% | ₹50,00,000 aggregate |
TDS compliance context
Deductors must deposit TDS on time, file TDS returns, and issue certificates such as Form 16, Form 16A, or Form 16B. Deductees should verify credits in Form 26AS and AIS. Mismatched PAN, wrong section, delayed deposit, or incorrect challan details can create credit issues during ITR filing.
Using this result in India
This TDS Calculator India is designed as a planning and audit tool, not as a substitute for the original Indian document that controls the transaction. For tax pages, that controlling document may be the Income-tax Act, Finance Act, Form 16, Form 26AS, AIS, challan, or employer declaration. For loan and investment pages, it may be the bank sanction letter, mutual fund scheme document, policy statement, EPFO passbook, NPS statement, or small-savings notification. For state-level pages, it may be a state transport, registration, electricity, or revenue department order. Use the calculator to understand scale, direction, and line-item logic before you rely on the official document.
Indian financial decisions are sensitive to timing. A rate that is correct for FY 2024-25 may not be correct for FY 2025-26. A monthly salary figure may not include bonus, arrears, reimbursements, or employer contributions. A property or vehicle quote may include charges that are negotiable, optional, or state-specific. A bank rate may be floating and linked to an external benchmark. Re-run the calculator when any input changes, and compare at least three scenarios: conservative, expected, and high-cost or low-return.
When the output is a large rupee amount, read it in both exact Indian notation and practical language. ₹10,00,000 is 10 lakhs, ₹1,00,00,000 is 1 crore, and small percentage changes can move the result by many lakhs on long tenures or high-value purchases. Keep screenshots or downloaded statements from the official portal, preserve invoices and receipts, and reconcile calculator output with the final bill, return, or statement before making a payment, filing a return, or signing a contract.
If you share the result with a family member, accountant, lender, employer, dealer, or broker, share the inputs too. Most disagreements come from different assumptions, not from the arithmetic.
FAQ
What is TDS?
TDS is tax deducted at source from specified payments and deposited with the government by the deductor.
Is TDS final tax?
No. It is a tax credit. Final tax depends on total income and return calculation.
What happens if PAN is not available?
A higher rate, often 20%, may apply under Section 206AA.
Is TDS deducted on rent?
Yes, if rent crosses applicable thresholds and conditions under 194I or 194IB apply.
How do I claim TDS credit?
Report income and claim TDS credit in the income tax return using Form 26AS/AIS and TDS certificates.
Important notes for India
- Section 194IB rate was reduced from 5% to 2% with effect from 1 October 2024; check payment period.
- No-PAN higher deduction can apply under Section 206AA.
- Thresholds and rates can change through Finance Acts, so verify for the exact financial year.
- TDS credit depends on correct PAN, TAN, challan, return filing, and statement matching.