Income Tax – TDS (Tax Deduction at Source) Rates

Under Tax Deduction At Source (TDS) scheme ,as prescribed in Income Tax Act every person is responsible for payment of any specified sum to any person is required to deduct Tax at Source and deposit it with central Goverment with in specified time. if prescribed limit of payment do not exceed there is no need for deduction of tax

However we would like to provide you a complete chart of TDS applicable for the financial year 2011-12.

TDS (Tax deducted at Source) Rate chart For Financial Year 2011-12

wef 01.07.10

TDS Rate in %

Section Nature of payments Payment Thresholds Company, firm. Co-op Society, Local authority HUF , Individual
193 Interest on securities Nil 10 10
194 Dividends Nil 10 10
194A Interest from a banking company 10000 10 10
194A Interest other than interest on securities 5000 10 10
194B Winning from Lotteries or Crossword Puzzles 10000 30 30
194BB winning from Horse races 5000 30 30
194C Payment to Contractors , Sub contractors 30000 for Single transaction 2 1
75000 for aggregate of transactions during the Financial year
194D Insurance Commission 20000 10 10
194E Payment to non resident Sportsman/Sports association Nil 10 10
194EE Payment in respect of national savings scheme 2500 20 20
194F Payment on account of re-purchase of units of mutual Fund Nil 20 20
194G Sale of Lottery Ticket 1000 10 10
194H Commission on brokerage 5000 10 10
194I Rent for the use of land , building, furniture and fixtures 180000 10 10
194I Rent-For the use of Machinery, plant equipment 180000 10 10
194J Fees for Professional , technical services 30000 10 10
194LA Payment of compensation on acquisition of certain immovable property 100000 during the FY 10 10


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