Last Updated: June 2026 — FY 2025-26 (AY 2026-27)
TDS (Tax Deducted at Source) is deducted by the payer before making payments to the payee. Here are the current TDS rates applicable for Financial Year 2025-26.
TDS Rates for FY 2025-26 (AY 2026-27)
| Section | Nature of Payment | Threshold Limit | TDS Rate (Individual) |
|---|---|---|---|
| 192 | Salary | Basic exemption limit | As per income tax slab |
| 193 | Interest on Securities | Rs. 10,000 | 10% |
| 194 | Dividend | Rs. 5,000 | 10% |
| 194A | Interest other than securities (Banks) | Rs. 50,000 (Sr. Citizen) / Rs. 40,000 | 10% |
| 194B | Winnings from Lottery/Game | Rs. 10,000 | 30% |
| 194C | Payment to Contractors | Rs. 30,000 (single) / Rs. 1,00,000 (annual) | 1% (Individual/HUF) / 2% (Others) |
| 194D | Insurance Commission | Rs. 15,000 | 10% |
| 194H | Commission or Brokerage | Rs. 15,000 | 5% |
| 194I | Rent (Plant & Machinery) | Rs. 2,40,000 | 2% |
| 194I | Rent (Land/Building/Furniture) | Rs. 2,40,000 | 10% |
| 194IA | Transfer of Immovable Property | Rs. 50,00,000 | 1% |
| 194J | Professional/Technical Fees | Rs. 30,000 | 10% (Professional) / 2% (Technical) |
| 194Q | Purchase of Goods | Rs. 50,00,000 | 0.1% |
| 194N | Cash Withdrawal from Bank | Rs. 1 Crore (Rs. 20L if no ITR filed) | 2% / 5% |
TDS on Salary – Section 192
TDS on salary is deducted by your employer at the time of payment. The deduction is calculated based on your estimated total income for the year after considering:
- Salary income, allowances, and perquisites
- Deductions declared by employee (80C, 80D, HRA, LTA etc.)
- Choice of tax regime (New or Old)
- Standard deduction of Rs. 75,000
Employer issues Form 16 showing TDS deducted. Cross-check with Form 26AS / AIS on incometax.gov.in.
How to Check TDS Deducted
- Visit incometax.gov.in and login with PAN
- Go to e-File ? Income Tax Returns ? View Form 26AS
- Or download your Annual Information Statement (AIS) for a complete picture
TDS Refund
If excess TDS has been deducted, you can claim a refund by filing your ITR. The refund is directly credited to your bank account linked to your PAN. Ensure your bank account is pre-validated on the income tax portal for faster refunds.