TDS Rates for FY 2025-26:

TDS Rates for FY 2025-26 A TDS (Tax Deducted at Source) rate chart is a simpler table that shows how much tax should be deducted prior to making different kinds of payments. These payments can be salary, interest, rent, professional fees or commissions. The chart shows what percentage of the payment is required to be deducted as tax and sent to the government. The TDS rate depends on the type of payment you're making and who is receiving it, like an individual, a company or a non-resident. This chart is updated every year during the Union Budget, which helps people to follow the tax rules properly. TDS helps people to pay their taxes on time and avoid further penalties for not following the rules.

Budget 2025: New TDS Rules from April 1

From April 1, 2025, the TDS limits have been increased by the government in Budget 2025.

Section	TDS Limit up to March 31, 2025	TDS Limit From April 1, 2025
193 - Interest on Securities	NIL	Rs. 10,000
194A - Interest other than interest on securities	(i) Rs. 50,000 (for senior citizens) (ii) Rs. 40,000 (for others – banks, co-op societies, post offices) (iii) Rs. 5,000 (in other cases)	(i) Rs. 1,00,000 (for senior citizens) (ii) Rs. 50,000 (for others – banks, co-op societies, post offices) (iii) Rs. 10,000 (in other cases)
194 - Dividend (for an individual shareholder)	Rs. 5,000	Rs. 10,000
194K - Income (from mutual fund units)	Rs. 5,000	Rs. 10,000
194B - Lottery, crossword puzzle winnings	Aggregate exceeding Rs. 10,000 (in a financial year)	Rs. 10,000 (per transaction)
194BB - Winnings (from a horse race)	Aggregate exceeding Rs. 10,000 (in a financial year)	Rs. 10,000 (per transaction)
194D - Insurance Commission	Rs. 15,000	Rs. 20,000
194G - Commission, prize, etc. (on lottery tickets)	Rs. 15,000	Rs. 20,000
194H - Commission or brokerage	Rs. 15,000	Rs. 20,000
194-1 - Rent	Rs. 2,40,000 (per financial year)	Rs. 50,000 (per month or part of the month)
194J - Professional/technical fees	Rs. 30,000	Rs. 50,000
194LA - Enhanced compensation income	Rs. 2,50,000	Rs. 5,00,000

This will make things easier for people and reduce paperwork as no tax will be deducted on small payments.

Budget 2024: New TDS Rates

The TDS rates for some payments have been reduced inthe  budget 2024 to help businesses and make the tax filing process easier. A new chart shows the updated rates and their affected payments.

Section	Current Rate	New Rate	Effective Date
Section 194H - Payment of commission or brokerage	5%	2%	October 1, 2024
Section 194-IB - Payment of rent by certain individuals or HUF	5%	2%	October 1, 2024
Section 194M - Payment of certain sums by certain individuals or Hindu undivided family	5%	2%	October 1, 2024
Section 194-0 - Payment of certain sums by e-commerce operator to e-commerce participant	1%	0.1%	October 1, 2024
Section 194F - Payments on account of repurchase of units by Mutual Fund or Unit Trust of India	Proposed to be omitted	—	October 1, 2024

This was effective from October 1, 2024.

TDS Rate Chart for FY 2025-26

Here is the TDS chart for the FY 2025-26. TDS rates on Salary, funds, interests and more are included in this.

S.No.	Particulars	Section	Threshold limit	TDS Rate
1	Salaries	192	Old Tax Regime: If net taxable income is less than the maximum amount which is not chargeable to tax (i.e. Rs. 2,50,000 for an individual other than senior citizen, Rs. 3,00,000 for Senior Citizens and Rs. 5,00,000 for Super Senior Citizens) New Tax Regime: If net taxable income is less than the maximum amount which is not chargeable to tax (i.e. Rs. 4,00,000)	New or Old Tax Regime Slabs plus surcharge and education cess
2	EPF- Premature Withdrawal	192A	Rs. 50,000.	10%
3	Interest on securities	193	Rs. 10,000.	10%
4	Interest payable to resident individual/HUF on any debenture issued by public company	193	Rs. 10,000.	10%
5	Dividend for an individual shareholder	194	Rs. 10,000.	10%
6	Interest other than Interest on securities	194A	Rs. 1,00,000/- for senior citizen	10%
7	Interest other than Interest on securities	194A	Rs. 50,000/- in case of others when payer is bank, cooperative society and post office	10%
8	Interest other than Interest on securities	194A	Rs. 10,000/-  in other cases	10%
9	Lottery / Cross Word Puzzles /Card game/gambling/betting of any form or nature	194B	Rs. 10,000/- in respect of a single transaction	30%
10	Winnings from horse races	194BB	Rs. 10,000/- in respect of a single transaction	30%
11	Contractor	194C	a) If sum paid/credited to a contractor in a single payment does not exceed Rs. 30,000 b) If sum paid/credited  to contractor in aggregate does not exceed Rs. 1,00,000 during the financial year.	1%  when payment/credit to an individual or a Hindu undivided family 2% when payment/credit to any person other than an individual or a Hindu undivided family
12	Insurance commission paid or payable during the financial year to resident person	194D	Rs. 20,000	5% if recipient is a resident (other than a company) 10%  if recipient is a domestic company
13	Sum payable under a life insurance policy (including bonus) to a resident person	194DA	Rs. 1,00,000	2%
14	Payments made out of deposits under NSS	194EE	Rs. 2,500. In case of payment is received by legal heirs no tax shall be deducted.	10%
15	Commission paid on sale of lottery tickets	194G	Rs. 20,000	2%
16	Commission or brokerage	194H	Rs. 20,000 Further no tax to be deducted from commission payable by BSNL/ MTNL to their Public call office franchisees.	2%
17	Payment of rent in respect of any land or building, furniture or fittings or plant and machinery to a resident person	194-I	Rs. 50,000/- per month or part of a month. No tax deductions shall be made under this section if rent is paid to a business trust, being a real estate investment trust, in respect of any real estate asset, referred to in 10(23FCA), owned directly by such business trust.	2% on rent of plant and machinery 10% on rent of land or building or furniture or fitting
18	Payment of consideration for purchase of an immovable property (other than agriculture land) to a resident transferor	194-IA	Rs. 50 Lakhs.	1%
19	Payment of rent of any land or building or both by an individual/HUF [whose books of account are not required to be audited under section 44AB to resident person.	194-IB	If amount of rent does not exceed Rs. 50,000 for a month or part of a month.	2%
20	Payment of fee for professional services, fee for technical services, royalty, any sum referred to in section 28(va) to a resident person	194J	Rs. 50,000.	2% if payee is engaged in the business of operation of call center; 2% on sum paid or payable towards fees for technical services; 2% on sum paid or payable towards royalty in the nature of consideration for sale, distribution or exhibition of cinematographic films; 10% on Any other sum
21	Income in respect of units payable to resident	194K	Rs. 10,000.	10%
22	Payment of compensation/enhanced compensation  on compulsory acquisition of immovable property (other than Agricultural Land) to a resident person	194LA​	Rs. 5​,00,000	10%
23	Sum payable to a person with respect to contractual work, commission, brokerage or for professional services	194M	Rs. 50 Lakhs.	2%
24	No TDS is required to be deducted on the amount withdrawn in cash from any account	194N	If the aggregate amount withdrawn does not exceed Rs. 1 crore during the previous year. Note:(a) The threshold limit shall be Rs. 20 lakh if the person, has not filed return of income (ITR) for three previous years immediately preceding the previous year in which cash is withdrawn, and the due date for filing ITR under 139(1) has expired.(b) The threshold limit of Rs. 1 crore is increased to Rs. 3 crores for the deduction of tax under Section 194N from the withdrawal of cash made by co-operative society.	2% when cash deposit is more than 1Cr. * for those persons who have not filed return of income (ITR) for three previous years immediately preceding the previous year in which cash is withdrawn, and the due date for filing ITR under section 139(1) has expired. The deduction of tax under this situation shall be at the rate of: a)   2% from the amount withdrawn in cash if the aggregate of the amount of withdrawal exceeds Rs. 20 lakhs but not exceeding Rs. 1 crore during the previous year; or b)   5% from the amount withdrawn in cash if the aggregate of the amount of withdrawal exceeds Rs. 1 crore during the previous year.
25	No TDS from payment to participants of e-commerce	194-O	Rs. 5 Lakhs	0.10%
26	No TDS on sum paid to seller for purchase of goods	194Q	Rs. 50 Lakhs.	0.10%
27	No TDS in case any benefit or perquisite is provided to a resident	194R	Rs. 20,000	10%
28	No TDS from payment on transfer of Virtual Digital Asset	194S	No tax shall be deducted under this provision in the following circumstance: • If the consideration is payable by any person (other than a specified person) and its aggregate value does not exceed Rs. 10,000 during the financial year. • If the consideration is payable by a specified person and its aggregate value does not exceed Rs. 50,000 during the financial year. Specified person means: (a) An individual or a HUF, whose total sales, gross receipts or turnover does not exceed Rs. 1 crore in case of business or Rs. 50 lakhs in case of a profession, during the financial year immediately preceding the financial year in which virtual digital asset is transferred; (b) An individual or a HUF who does not have any income under the head profits and gains of business or profession.	1%
29	Payments to partners of firms	194T	Rs. 20,000	10%

The details like section, type of payment, limit for tax deduction, and the TDS rate as per the 2025 tax rules are given in this chart. Hope you find the same helpful.