Important notes

  • If the payee doesn't furnish PAN, TDS generally applies at 20% or the normal rate, whichever is higher.
  • Rates for payments to non-residents differ (section 195 and DTAA rates).
  • Deposit TDS by the 7th of the next month (30 April for March) and file quarterly returns.
  • From 1 April 2026, the Income-tax Act, 2025 replaces the 1961 Act and consolidates TDS provisions into a single section with tables. Section numbers above refer to the 1961 Act; rates broadly carry over, but confirm the FY 2026-27 position with us before relying on them.