Reference
TDS & TCS — rates, thresholds and the old ↔ new section map
A searchable, plain-English reference for Tax Year 2026-27 (FY 2026-27): every TDS and TCS rate under the Income-tax Act, 2025 — and the 1961-Act section each new provision replaces. Find anything by keyword or old section number.
The Income-tax Act, 2025 folded the old web of TDS sections (192, 193, the whole 194-series, 195, 196A–D) into just three — Section 392 (salary), Section 393 (all other TDS) and Section 394 (TCS, replacing 206C). The rates mostly stayed the same; what changed is where to look. This page maps it for you.
37 provisions
| Nature of payment / receipt | Type | Rate | Threshold | Income-tax Act, 2025 | Was (1961 Act) |
|---|---|---|---|---|---|
| Dividend from a domestic companyInterest & dividend | tds | 10% | ₹10,000₹10,000 for an individual shareholder (otherwise nil) | Sec 393(1), Sl. 7 | Sec 194 |
| Interest from a bank / co-op bank / post officeInterest & dividend | tds | 10%* | ₹50,000per year — ₹1,00,000 for senior citizens | Sec 393(1), Sl. 5(ii) | Sec 194A |
| Interest from others (not a bank)Interest & dividend | tds | 10%* | ₹10,000per year | Sec 393(1), Sl. 5(iii) | Sec 194A |
| Interest on securitiesInterest & dividend | tds | 10%* | ₹10,000per year | Sec 393(1), Sl. 5(i) | Sec 193 |
| Premature PF withdrawal (taxable)Interest & dividend | tds | 10% | ₹50,000per year | Sec 392(6)–(7) | Sec 192A |
| Income from mutual-fund unitsInterest & dividend | tds | 10% | ₹10,000per year | Sec 393(1), Sl. 4(i) | Sec 194K |
| Payment to contractor — payee is an individual / HUFContracts, commission & fees | tds | 1% | ₹30,000₹30,000 per contract or ₹1,00,000 in the year | Sec 393(1), Sl. 6(i) | Sec 194C |
| Payment to contractor — payee is a company / firmContracts, commission & fees | tds | 2% | ₹30,000₹30,000 per contract or ₹1,00,000 in the year | Sec 393(1), Sl. 6(i) | Sec 194C |
| Commission or brokerageContracts, commission & fees | tds | 2% | ₹20,000per year | Sec 393(1), Sl. 1(ii) | Sec 194H |
| Professional feesContracts, commission & fees | tds | 10% | ₹50,000per year | Sec 393(1), Sl. 6(iii) | Sec 194J |
| Technical fees / call-centre / film royaltyContracts, commission & fees | tds | 2% | ₹50,000per year | Sec 393(1), Sl. 6(iii) | Sec 194J |
| Insurance commissionContracts, commission & fees | tds | 2%* | ₹20,000per year | Sec 393(1), Sl. 1(i) | Sec 194D |
| Contract / professional fee paid by an individual / HUFContracts, commission & fees | tds | 2% | ₹50,00,000over ₹50 lakh in the year | Sec 393(1), Sl. 6(ii) | Sec 194M |
| Rent of plant & machineryRent & property | tds | 2% | ₹50,000per month | Sec 393(1), Sl. 2(ii) | Sec 194-I |
| Rent of land, building or furnitureRent & property | tds | 10% | ₹50,000per month | Sec 393(1), Sl. 2(ii) | Sec 194-I |
| Rent paid by an individual / HUF (not under audit)Rent & property | tds | 2% | ₹50,000per month | Sec 393(1), Sl. 2(i) | Sec 194-IB |
| Purchase of immovable propertyRent & property | tds | 1% | ₹50,00,000consideration / stamp-duty value of ₹50,00,000 or more | Sec 393(1), Sl. 3(i) | Sec 194-IA |
| Purchase of goodsBusiness & other | tds | 0.1% | ₹50,00,000on value above ₹50,00,000 in the year | Sec 393(1), Sl. 8(ii) | Sec 194Q |
| E-commerce participant (sale via operator)Business & other | tds | 0.1% | ₹5,00,000₹5,00,000 for a resident individual / HUF | Sec 393(1), Sl. 8(v) | Sec 194-O |
| Benefit or perquisite from business / professionBusiness & other | tds | 10% | ₹20,000per year | Sec 393(1), Sl. 8(iv) | Sec 194R |
| Transfer of a virtual digital assetBusiness & other | tds | 1% | ₹10,000₹10,000 (₹50,000 for specified persons) | Sec 393(1), Sl. 8(vi) | Sec 194S |
| Life-insurance policy payout (taxable)Business & other | tds | 2% | ₹1,00,000per year, on the income component | Sec 393(1), Sl. 8(i) | Sec 194DA |
| Winnings — lottery / crossword / card game / bettingWinnings & other | tds | 30%* | ₹10,000per single transaction | Sec 393(3), Sl. 1 | Sec 194B |
| Winnings from a horse raceWinnings & other | tds | 30%* | ₹10,000per single transaction | Sec 393(3), Sl. 3 | Sec 194BB |
| Commission on lottery ticketsWinnings & other | tds | 2% | ₹20,000per year | Sec 393(3), Sl. 4 | Sec 194G |
| Cash withdrawal from bank / post officeWinnings & other | tds | 2% | ₹1,00,00,000over ₹1 crore (₹3 crore for a co-op society) | Sec 393(3), Sl. 5 | Sec 194N |
| Partner's remuneration / interest from a firmWinnings & other | tds | 10% | ₹20,000per year | Sec 393(3), Sl. 7 | Sec 194T |
| Sale of alcoholic liquor for human consumptionGoods (seller collects) | tcs | 2% | Nil | Sec 394, Sl. 1 | Sec 206C(1) |
| Sale of tendu leavesGoods (seller collects) | tcs | 2% | Nil | Sec 394, Sl. 2 | Sec 206C(1) |
| Sale of timber / other forest produceGoods (seller collects) | tcs | 2% | Nil | Sec 394, Sl. 3 | Sec 206C(1) |
| Sale of scrapGoods (seller collects) | tcs | 2% | Nil | Sec 394, Sl. 4 | Sec 206C(1) |
| Sale of coal, lignite or iron oreGoods (seller collects) | tcs | 2% | Nil | Sec 394, Sl. 5 | Sec 206C(1) |
| Sale of a motor vehicle / notified goodsGoods (seller collects) | tcs | 1% | ₹10,00,000on sale consideration over ₹10,00,000 | Sec 394, Sl. 6 | Sec 206C(1F) |
| LRS remittance — education or medical treatmentRemittance & services | tcs | 2% | ₹10,00,000over ₹10,00,000 in the year | Sec 394, Sl. 7 | Sec 206C(1G) |
| LRS remittance — any other purposeRemittance & services | tcs | 20% | ₹10,00,000over ₹10,00,000 in the year | Sec 394, Sl. 7 | Sec 206C(1G) |
| Overseas tour programme packageRemittance & services | tcs | 2% | Nil | Sec 394, Sl. 8 | Sec 206C(1G) |
| Lease of a parking lot, toll plaza, or mine / quarryRemittance & services | tcs | 2% | Nil | Sec 394, Sl. 9 | Sec 206C(1C) |
* “Rates in force” — the figure shown is the practical/current rate; the Act defers to the Finance Act schedule. Resident provisions (Sec 393(1) & 393(3)) and TCS (Sec 394) are listed; salary (Sec 392) and non-resident payments (Sec 393(2)) are handled separately.
Need the actual figure on a payment? Use the TDS & TCS calculator — enter the amount and it works out the tax, with the no-PAN rule built in.
How the sections moved
Replaces: Sections 192, 192A
Replaces: Sections 193, 194, 194A, 194C, 194D, 194H, 194-I, 194-IA, 194-IB, 194-IC, 194J, 194K, 194LA, 194LBA/LBB/LBC, 194M, 194-O, 194P, 194Q, 194R, 194S, 194DA
Replaces: Sections 194E, 194LB, 194LC, 194LD, 195, 196A, 196B, 196C, 196D
Replaces: Sections 194B, 194BA, 194BB, 194G, 194N, 194EE, 194T
Replaces: Section 206C (all sub-sections)
Common questions
- Which section replaced 194C, 194J and 194-I under the Income-tax Act, 2025?
- All TDS (other than salary) moved into Section 393. Section 194C (contractors) is now Section 393(1), Table Sl. No. 6(i); Section 194J (professional/technical fees) is Sl. No. 6(iii); and Section 194-I (rent) is Sl. No. 2(ii).
- What is the TDS rate on professional fees for FY 2026-27?
- 10% under Section 393(1), Sl. No. 6(iii) of the Income-tax Act, 2025 (formerly Section 194J), with a threshold of ₹50,000 in the year. Technical fees, call-centre payments and film royalty are at 2%.
- Which section replaced 206C for TCS?
- Section 394 of the Income-tax Act, 2025 replaces Section 206C and contains the full TCS table — liquor, tendu, timber, scrap, minerals, motor vehicles, LRS remittances, overseas tour packages and mine/parking leases.
- What is 'Tax Year 2026-27'?
- Under the Income-tax Act, 2025 the term 'tax year' replaces 'previous year'. Tax Year 2026-27 is the same as Financial Year 2026-27. (Income earned in FY 2025-26 is still assessed under the 1961 Act, as Assessment Year 2026-27.)
- Have the TDS rates changed under the new Act?
- Mostly the rates and thresholds carried over unchanged — the Income-tax Act, 2025 reorganised the sections rather than re-pricing them. Some TCS rates were revised by the Finance Act, 2026; those are flagged in the table.
A factual reference of rates, thresholds and section mapping — current as on 16 June 2026, and not legal advice or an opinion on any transaction. Rates can be revised mid-year, and the right treatment turns on the facts of your case — for that, talk to us.
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