TDS Calculator
See how much tax is deducted at source (TDS) from a payment, and how much is actually paid out. Choose the type of payment and enter the amount.
TDS of ₹7,500 (10%) is deducted, so ₹67,500 is paid out. Total interest from that bank in the year.
Tax Year 2026-27 rates for resident payees. TDS is not an extra tax: it counts towards the payee’s final tax, and any excess comes back as a refund when they file their return.
What is TDS?
Tax deducted at source (TDS) is income tax that the payer cuts from a payment and deposits with the government in the payee’s name. It is not an extra tax: the payee gets credit for it when they file their return. From 1 April 2026, TDS rules are in Sections 392 and 393 of the Income-tax Act, 2025, which replaced the old 194-series sections. The rates and limits carried over unchanged.
How TDS is calculated
TDS = payment × rate, once the payment crosses the threshold for that type of payment.
Worked examples
- FD interest of ₹75,000 in a year from one bank (not a senior citizen): TDS = ₹7,500 (10%)
- Rent of ₹60,000 a month paid by a salaried tenant: 2%, or ₹14,400 for the year
- Professional fees of ₹1,20,000 in a year: TDS = ₹12,000 (10%)
- Buying a flat for ₹80 lakh: TDS = ₹80,000 (1%), deducted by the buyer
TDS rates for Tax Year 2026-27
For resident payees with a valid PAN:
| Payment | Rate | TDS applies above | Section (formerly) |
|---|---|---|---|
| Interest from a bank, co-op bank or post office | 10% | ₹50,000 a year | 393(1) (194A) |
| Interest from a bank or post office (senior citizen) | 10% | ₹1,00,000 a year | 393(1) (194A) |
| Other interest (company deposits, loans) | 10% | ₹10,000 a year | 393(1) (194A) |
| Dividends | 10% | ₹10,000 a year | 393(1) (194) |
| Rent paid by an individual or HUF (no tax audit) | 2% | ₹50,000 a month | 393(1) (194-IB) |
| Rent of land or building paid by a business | 10% | ₹50,000 a month | 393(1) (194-I(b)) |
| Rent of plant, machinery or equipment | 2% | ₹50,000 a month | 393(1) (194-I(a)) |
| Professional fees | 10% | ₹50,000 a year | 393(1) (194J) |
| Fees for technical services | 2% | ₹50,000 a year | 393(1) (194J) |
| Contractor payment to an individual or HUF | 1% | ₹1,00,000 a year | 393(1) (194C) |
| Contractor payment to a firm or company | 2% | ₹1,00,000 a year | 393(1) (194C) |
| Commission or brokerage | 2% | ₹20,000 a year | 393(1) (194H) |
| Buying property (not agricultural land) | 1% | ₹50,00,000 or more | 393(1) (194-IA) |
| EPF withdrawal before 5 years of service | 10% | ₹50,000 a payment | 392 (192A) |
| Lottery, game show or puzzle winnings | 30% | ₹10,000 a payment | 393(3) (194B) |
| Selling crypto or other virtual digital assets | 1% | ₹50,000 a year | 393(1) (194S) |
Salary is not in this table: your employer deducts TDS on salary (Section 392, formerly 192) based on your estimated tax for the whole year. Contractor payments also attract TDS on any single payment above ₹30,000.
Without a PAN
If the payee does not give a valid PAN, TDS is deducted at 20%, or the normal rate if that is higher. An inoperative PAN, for example one not linked to Aadhaar, counts as no PAN.
Getting TDS back, or avoiding it
- Refund: file your income tax return; TDS above your actual tax is refunded.
- Form 15G / 15H: if your total income is below the taxable limit, give one to your bank so it does not deduct TDS on interest (15H if you are 60 or older).
- Lower deduction certificate: if your tax will be lower than the TDS, you can apply on the income-tax portal for a certificate allowing a lower rate.
When to use a different calculator
- TDS on your salary? Use the In-Hand Salary Calculator or the Income Tax Calculator.
- What an FD earns before tax? Use the FD Calculator.
- Tax on selling shares, funds or property? Use the Capital Gains Tax Calculator.
