TDS Calculator FY 2025-26 | TDS on Salary, FD Interest, Rent & Fees

📊 Enter Payment Details

Nature of Payment

Section — · Rate — · Threshold —

Payment Amount (per year) ₹1,00,000

₹

Enter the total amount paid/credited during the year for this payment type.

Does the Recipient Have a PAN?

Without a valid PAN, Section 206AA applies a higher TDS rate of 20% (or the normal rate, whichever is higher).

Is the Recipient a Senior Citizen (60+)?

Senior citizens get a higher ₹1,00,000 TDS threshold on bank/post-office interest.

📊

Choose a payment type, enter the amount and click Calculate to see the TDS and net amount.

Reference

Common TDS Rates & Thresholds FY 2025-26

Section	Nature of Payment	Rate	Threshold (FY 2025-26)
192	Salary	Slab rate	Basic exemption limit
194A	Bank / Post Office FD interest	10%	₹50,000 (₹1,00,000 senior)
194A	Interest (other than bank)	10%	₹10,000
194	Dividend	10%	₹10,000
194I	Rent — land / building / furniture	10%	₹6,00,000 / yr
194I	Rent — plant & machinery	2%	₹6,00,000 / yr
194-IB	Rent by individual / HUF	2%	₹50,000 / month
194J	Professional fees	10%	₹50,000
194J	Technical service fees	2%	₹50,000
194H	Commission / brokerage	2%	₹20,000
194C	Contractor — individual / HUF	1%	₹30,000 / ₹1,00,000
194C	Contractor — company / firm	2%	₹30,000 / ₹1,00,000
194-IA	Purchase of immovable property	1%	₹50,00,000
192A	EPF premature withdrawal	10%	₹50,000
194B	Lottery / game winnings	30%	₹10,000

If a valid PAN is not furnished, Section 206AA requires TDS at 20% or the applicable rate, whichever is higher (30% stays for winnings). Rates shown exclude surcharge and cess, which apply mainly to non-resident payments.

Complete Guide

TDS — How It Works

💡 Key point: Once the annual payment crosses the section's threshold, TDS is deducted on the entire amount, not just the portion above the threshold. TDS is not an extra tax — it is credited against your final tax liability and any excess is refunded.

1. What is TDS?

Tax Deducted at Source is tax collected at the point of payment. The payer (deductor) withholds a percentage of the payment and deposits it with the government against the recipient's (deductee's) PAN. It appears in your Form 26AS / AIS and is adjusted when you file your return.

2. Threshold Limits

Each section has a threshold below which no TDS is deducted. Budget 2025 raised several thresholds from FY 2025-26 — for example, bank interest from ₹40,000 to ₹50,000 (₹1,00,000 for senior citizens), professional fees from ₹30,000 to ₹50,000, and rent under 194I from ₹2.4 lakh to ₹6 lakh a year.

3. The No-PAN Penalty (Section 206AA)

If the recipient does not provide a valid PAN, the deductor must deduct TDS at 20% or the normal rate, whichever is higher. Always share your PAN with banks and clients to avoid this higher deduction.

4. TDS on Salary (Section 192)

Salary TDS is not a flat rate — your employer estimates your annual tax on projected income (after the regime, deductions and rebate) and deducts it evenly across 12 months. To estimate it, work out your annual tax with our Income Tax Calculator and divide by 12.

5. Claiming TDS Back

If total TDS deducted is more than your actual tax liability, you get a refund after filing your ITR. If your income is below the taxable limit, you can submit Form 15G/15H to your bank to avoid TDS on interest altogether.

Walkthrough Example

Step-by-Step TDS Example

Consider a freelancer, Karan, who raises an invoice for professional services:

Professional fees (Section 194J): ₹1,20,000
Threshold: ₹50,000 — crossed, so TDS applies
PAN: Provided

How the TDS is Worked Out:

Applicable rate: 10% for professional services under 194J.
TDS: ₹1,20,000 × 10% = ₹12,000.
Net amount Karan receives: ₹1,20,000 − ₹12,000 = ₹1,08,000.

The ₹12,000 TDS is deposited against Karan's PAN and shows up in his Form 26AS. When he files his ITR, this ₹12,000 is adjusted against his total tax — if his actual liability is lower, the balance is refunded. Had he not provided a PAN, TDS would have been 20% (₹24,000).

FAQs

Frequently Asked Questions

Is TDS deducted on the full amount or only above the threshold?+

On the full amount. Once the annual payment crosses the section's threshold, TDS applies to the entire sum, not just the part exceeding the limit. The threshold only decides whether TDS is deducted, not the base for it.

What is the TDS rate on bank FD interest for FY 2025-26?+

Banks deduct TDS at 10% on interest under Section 194A once it crosses ₹50,000 in a year (₹1,00,000 for senior citizens). If you don't provide your PAN, the rate rises to 20%. You can file Form 15G/15H if your income is below the taxable limit to avoid TDS.

How is TDS on salary calculated?+

Under Section 192, there is no fixed rate. Your employer estimates your total annual tax based on projected income, chosen regime, declared deductions and rebate, then deducts that amount evenly across your 12 monthly salaries. Estimate it by computing your annual tax and dividing by 12.

What happens if I don't give my PAN?+

Under Section 206AA, TDS is deducted at 20% or the normal applicable rate, whichever is higher. For winnings under 194B the 30% rate continues. Always provide a valid PAN to avoid the higher deduction and to ensure the TDS is credited to you.

Can I get a refund of TDS?+

Yes. TDS is only an advance collection of tax. When you file your income tax return, the total TDS (visible in Form 26AS / AIS) is set off against your actual tax liability. If more was deducted than due, the excess is refunded to your bank account.

What is the TDS on rent?+

For businesses under Section 194I, TDS on rent for land/building is 10% (2% for plant & machinery), applicable once rent crosses ₹6 lakh a year. For individuals/HUF not liable to audit, Section 194-IB applies TDS at 2% if monthly rent exceeds ₹50,000.

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