TDS rate chart for FY 2019-20 (Updated as per Budget 2019)
TDS rate chart applicable for FY 2019-20 on the various payments made to the Residents are given below for easy understanding.
| Section | Nature of Payment | Threshold Limit | When TDS is to be deducted | Rate of TDS |
| 192 | Salary | Basic exemption limit | At the time of payment | Income tax slab rates |
| 192A | Payment of accumulated sum from Employee Provident Fund (EPF) | Rs. 50,000 | At the time of payment | 10% |
| 193 | Interest on Securities/Debentures | Rs. 5,000 – For interest on debentures paid through account payee cheque by Public company to a resident individual/HUF Rs. 10,000 – For interest payable on any security of Central Govt or State Govt | At the time of credit or payment whichever is earlier | 10% |
| 194 | Dividends (other than dividend u/s 115-O) | Rs. 2,500 | At the time of payment | 10% |
| 194A | Interest (other than specified u/s 193) paid by banking company or co-operative society or post office Interest – Others | Rs. 50,000 – if payee is senior citizen Rs. 40,000 – Others Rs. 5,000 | At the time of credit or payment whichever is earlier | 10% |
| 194B | Winnings from lottery or crossword puzzle or card games | Rs. 10,000 | At the time of payment | 30% |
| 194BB | Winning from horse race | Rs. 10,000 | At the time of payment | 30% |
| 194C | Payment to contractor or sub-contractor for carrying out any work | Rs. 30,000 – For single payment Rs. 1,00,000 – For aggregate of transactions in a financial year | At the time of credit or payment whichever is earlier | 1% – if payee is individual/HUF 2% – Others |
| 194D | Insurance commission | Rs. 15,000 | At the time of credit or payment whichever is earlier | 5% |
| 194DA | Payment in respect of LIC policy proceeds other than which are exempted u/s10(10D) | Rs. 1,00,000 | At the time of payment | 5% on the income comprised therein – w.e.f. 1st September, 2019 |
| 194EE | Payments in respect of deposits under NSS | Rs. 2,500 | At the time of payment | 10% |
| 194F | Payment on account of repurchase of units by Mutual Funds/Unit Trust of India | NA | At the time of payment | 20% |
| 194G | Commission on sale of lottery tickets | Rs. 15,000 | At the time of credit or payment whichever is earlier | 5% |
| 194H | Commission or brokerage (Other than insurance commission u/s 194D) | Rs. 15,000 | At the time of credit or payment whichever is earlier | 5% |
| 194I | Rent | Rs. 2,40,000 | At the time of credit or payment whichever is earlier | 2% – Plant & Machinery; Equipment 10% – Land or Building (including factory building) or Furniture or Fittings |
| 194IA | Payment on transfer of immovable property (other than agricultural land) | Rs. 50,00,000 | At the time of credit or payment whichever is earlier | 1% |
| 194IB | Payment of rent by individual or HUF who are not subject to tax audit | Rs. 50,000 per month | At the time of credit or payment whichever is earlier | 5% |
| 194IC | Payment of monetary consideration under Joint Development Agreement u/s 45(5A) of the act | – | At the time of credit or payment whichever is earlier | 10% |
| 194J | Fees for professional services (or) technical services (or) royalty (or) non-compete fees (or) fees/remuneration paid to director other than amount covered u/s 192 | Rs. 30,000 for each service separately | At the time of credit or payment whichever is earlier | 2% – If payee is engaged in the business of call center ONLY 10% – Others |
| 194LA | Payment of compensation on acquisition of any immovable property (other than agricultural land) | Rs. 2,50,000 | At the time of payment | 10% |
| 194LBA | Certain income from the units of a business trust to its unit holder | NA | At the time of credit or payment whichever is earlier | 10% |
| 194LBB | Income in respect of the units of investment funds | NA | At the time of credit or payment whichever is earlier | 10% |
| 194LBC | Income in respect of the investment in securitization trust | NA | At the time of credit or payment whichever is earlier | 25% – in case of individual/HUF; 30% – in any other case |
| 194M | (w.ef. 1st September 2019) Individual or HUF (other than covered u/s 194C, 194H & 194J) paying commission or brokerage (or) fee for professional services for carrying out any work including supply of labour | Rs. 50,00,000 | At the time of credit or payment whichever is earlier | 5% |
| 194N | (w.ef. 1st September 2019) Banking company or a co-operative society or post office paying any sum in cash in excess of Rs. 1 Crore to any person from an account maintained by the recipient | Rs. 1 crore | At the time of payment | 2% |
Points to be noted while deducting TDS
- Threshold limits mentioned above implies the limit beyond which TDS is applicable. But while computing TDS, the entire amount shall be taken into consideration.
- No Health and Education cess & Surcharge is applicable for the payments mentioned above except for TDS on salary u/s 192.
- No TDS on GST amount shown separately in the invoice issued by the supplier.
