TDS Calculator — Tax Deducted at Source Rates & Calculation (India)

TDS (Tax Deducted at Source) is how the government collects tax before money reaches you. Your employer deducts it from salary, your bank deducts it from FD interest, the tenant deducts it from high-value rent — the idea is that tax is collected upfront rather than waiting for you to file returns.

The CalcHub TDS Calculator helps you estimate how much TDS will be deducted from any payment type.

TDS Rate Chart — FY 2025-26

Section	Payment Type	Threshold	TDS Rate
192	Salary	As per income tax slab	Slab rate
194A	FD/RD interest (banks)	₹40,000/year (₹50,000 for seniors)	10%
194A	Post office interest	₹40,000/year	10%
194C	Contractor/sub-contractor	₹30,000 single / ₹1,00,000 aggregate	1% (individual), 2% (company)
194H	Commission/brokerage	₹15,000/year	5%
194I	Rent (land, building)	₹2,40,000/year	10%
194I	Rent (plant, machinery)	₹2,40,000/year	2%
194IB	Rent by individual/HUF	₹50,000/month	5%
194J	Professional/technical fees	₹30,000/year	10% (2% for technical)
194Q	Purchase of goods	₹50,00,000/year	0.1%
194LBC	Securitisation trust income	—	25% (individual), 30% (company)

No PAN provided? TDS doubles — typically 20% flat regardless of the standard rate.

TDS on Salary (Section 192)

Salary TDS is different from all other TDS — there's no flat rate. Your employer estimates your total income for the year and deducts tax monthly based on the applicable slab.

Worked example — ₹15 lakh CTC (new tax regime, FY 2025-26):

Component	Annual
Gross salary	₹15,00,000
Standard deduction	-₹75,000
Taxable income	₹14,25,000
Tax on ₹14.25L (new regime)	₹1,27,500
Monthly TDS deduction	₹10,625

Your employer will split this across 12 months. If you claim deductions mid-year or switch regimes, submit Form 12B to your employer to adjust.

TDS on FD Interest

If your FD interest from a single bank exceeds ₹40,000 in a year (₹50,000 for senior citizens), the bank deducts 10% TDS.

Example: ₹10 lakh FD at 7.5% for 1 year earns ₹75,000 interest. TDS = ₹7,500. You receive ₹67,500 — but you still need to declare the full ₹75,000 as income in your ITR. Avoiding TDS on FD: Submit Form 15G (below 60 years) or Form 15H (60+ years) if your total income is below the taxable limit. Banks are legally required to stop deducting TDS once they receive these forms.

TDS on Rent (Section 194-IB)

If you're paying rent exceeding ₹50,000/month, you must deduct 5% TDS as the tenant. This applies even if you're an individual or HUF — not just businesses.

Example: Paying ₹60,000/month rent? You deduct ₹3,000 (5%) and pay only ₹57,000 to the landlord. The ₹3,000 must be deposited with the government using Form 26QC by the 30th of the following month. The landlord gets credit in their Form 26AS.

Checking Your TDS — Form 26AS

Form 26AS is your TDS statement — it shows all TDS deducted on your PAN from all sources. Access it via:

• Income Tax portal: incometax.gov.in → View Form 26AS


• Net banking (most major banks link directly to 26AS)

Always cross-check Form 26AS before filing your ITR. If TDS is deducted but not deposited by the deductor, it won't reflect on your 26AS and you can't claim that credit.

When Does TDS Become Your Final Tax?

It doesn't — TDS is advance tax. When you file your ITR:

• If total tax payable > TDS deducted → you pay the difference as self-assessment tax


• If total tax payable < TDS deducted → you get a refund

This is why salaried people often get refunds — their employer may have deducted slightly more than required.

---

What if my employer deducts TDS under the wrong regime?

Communicate your preferred tax regime (old vs new) to your employer in writing at the start of the financial year using the options in Form 12BB. If you don't declare, the employer typically defaults to the new regime. You can correct this when filing your ITR.

Is TDS on FD deducted per branch or per bank?

Per bank (consolidated PAN-level). Even if you have FDs across multiple branches of the same bank, the TDS limit applies to the total interest from all your accounts with that bank. However, different banks calculate separately — so ₹40,000 limit applies independently to SBI and HDFC.

Can I claim TDS credit for tax deducted in the wrong year?

TDS is credited to the year it's deducted, not the year you receive the income. If your March FD interest is paid in April but TDS is deducted in March, the credit appears in the March year's 26AS.

---

Related Calculators

• Income Tax Calculator India — full tax computation
• Old vs New Tax Regime Calculator — which regime saves more
• FD Calculator — plan around TDS thresholds
• HRA Calculator — reduce TDS on salary