TDS Rate Chart as applicable for the Financial year 2025-26 (Assessment Year 2026-27)
The updated TDS rates for financial year 2025-26 are given in below table
| Section | Nature of Payment | Threshold Limit (in Rs) | Individual/HUF | Others (Co./Firm/LLP etc.) |
| 192 | Salary | Basic exemption limit | Slab rates | Slab rates |
| 192A | Premature withdrawal from EPF | 50,000 | 10% | 10% |
| 193 | Interest on securities | 10,000 | 10% | 10% |
| 194 | Dividend | 10,000 | 10% | 10% |
| 194A | Interest (other than securities) – Bank/Post/Co-op | 1,00,000 (Sr. Citizen); 50,000 (Other) | 10% | 10% |
| 194B | Lottery/crossword winnings | 10,000 (per transaction) | 30% | 30% |
| 194BA | Online gaming winnings | No limit | 30% | 30% |
| 194BB | Horse race winnings | 10,000 | 30% | 30% |
| 194C | Payment to contractor | 30,000 (single); 1,00,000 (annual) | 1% | 2% |
| 194D | Insurance commission | 20,000 | 2% | 2% |
| 194DA | Life insurance payout (income portion) | 1,00,000 | 2% | 2% |
| 194EE | NSS withdrawal | 2,500 | 10% | 10% |
| 194G | Lottery ticket commission | 20,000 | 2% | 2% |
| 194H | Commission or brokerage | 20,000 | 2% | 2% |
| 194-I(a) | Rent (plant & machinery) | 50,000/month | 2% | 2% |
| 194-I(b) | Rent (land/building/furniture) | 50,000/month | 10% | 10% |
| 194-IA | Transfer of immovable property (not agri. land) | 50,00,000 | 1% | 1% |
| 194-IB | TDS on Rent by Individual/HUF Form 26QC | 50,000/month | 2% | 2% |
| 194-IC | JDA payment to Ind/HUF | No limit | 10% | 10% |
| 194J | Professional/technical services | 50,000 | 10%* or 2%** | 10%* or 2%** |
| 194K | Income from mutual fund units | 10,000 | 10% | 10% |
| 194LA | Compensation on acquisition of immovable property | 5,00,000 | 10% | 10% |
| 194LBA(1) | Business trust income to unit holder | No limit | 10% | 10% |
| 194LBA(2) | Interest from SPV by business trust | No limit | 5% | 5% |
| 194LBA(3) | Rental income from business trust | No limit | 30% | 30% |
| 194LBB | Investment fund income to unit holder | No limit | 10% | 10% |
| 194LBC | Securitisation fund income | No limit | 10% | 10% |
| 194M | Certain payments by Ind/HUF (not under 194C/H/J) | 50,00,000 | 2% | 2% |
| 194N | Cash withdrawal (not filed ITR 3 yrs) | 20L–1Cr: 2%; >1Cr: 5% | 2% or 5% | 2% or 5% |
| 194O | E-commerce operator payment | 5,00,000 | 0.1% | 0.1% |
| 194P | Pension/interest to senior citizens (Age : 75+) | Basic exemption limit | Slab rates | Slab rates |
| 194Q | Purchase of goods | 50,00,000 | 0.1% | 0.1% |
| 194R | Perquisite/benefit to business/profession | 20,000 | 10% | 10% |
| 194S | Virtual Digital Assets | 10,000 | 1% | 1% |
| 194T | Remuneration & interest to Partners | 20,000 | 10% | 10% |
| 195 | Interest on foreign currency borrowings | NA | 20% *** | NA |
| 195 | Income by way of long-term capital gains referred to in Section 115E | NA | 12.5% *** | NA |
| 195 | Payment to Non-Resident for purchase of property (Long term Capital gain) | NA | 12.5%*** | NA |
| 195 | Payment to Non-Resident for purchase of property (Short term capital gain) | NA | Slab rates | NA |
| 195 | Income by way of long-term capital gains referred to in section 112(1)(c) (iii) | NA | 12.5% | 12.5% |
| 195 | Income by way of long-term capital gains as referred to in Section 112A exceeding Rs. 1.25 Lakh | 1.25 lakh | 12.5% | 12.5% |
| 195 | Income by way of short-term capital gains referred to in Section 111A | NA | 20% | 20% |
| 195 | Other Sums | NA | 30% | 35% (Foreign Company) |
* 10% for professional services, royalty, director fees, etc.
** 2% for technical services, call center, and royalty on films.
***Surcharge and cess are applicable in addition to the base rates above u/s 195 for Non-Residents.
Notes:
- One of the important change in TDS is in threshold limit of section -194I which was Rs 2,40,000/- annually has been changed to Rs 50,000/- per month or part of the month from FY 2025-26. It is important to note here that even if monthly rent is less than Rs. 50000 but if aggregate payment of rent to a single landlord in financial year exceeds Rs.6 lakh then also TDS is required to be deducted on whole rent amount.
- A new Section 194T is also applicable from 01 April 2025 for deducting TDS @ 10% to any payment to partners from partnership firm. (given in above table).
- From FY 2025-26 ,senior citizens limit for TDS deduction u/s 194A has been increased from Rs.50,000/- to Rs.1,00,000/- for interest payable by any Bank, Co-operative society or Post Office. Same limit is also increased from Rs.40000/- to Rs.50000/- for persons (Other than senior Citizens). For other deductors this limit has been increased from Rs 5,000/- to Rs 10,000/-
- From FY 2025-26, limit for TDS deduction u/s 194J has been increased from Rs 30,000/- to Rs 50,000/-
- No surcharge or education cess is levied on payments made to residents (Individuals / HUF / Society / AOP / Firm / Domestic Company). However education cess is levied in case of salary or wages.
- TDS at higher rate of 20% or TDS rate, whichever is higher, has to be deducted if the deductee does not provide PAN to the deductor.
- TDS rate for EPF withdrawals without a PAN number is 20% from FY 2023-24, from the previous maximum marginal rate
- Exemption of TDS on interest from listed debentures has been removed. Therefore, tax has to be deducted on interest on such specified securities from FY 2023-24.
- If a Non -Resident does not provide PAN No. then TDS would be at the rate which is lower of the rate of 20% and the rate or rates provided in agreement referred to in sub-section (1) of section 90 or sub-section (1) of section 90A of the Act, in case of a payee to whom such agreement applies and such payee has furnished the tax residency certificate referred to in sub-section (4) of section 90 or sub-section (4) of section 90A of the Act.
