Navigate TDS rates and compliances for FY 2023-24 onwards. Learn about TDS payment due dates, late fees, interest, penalty, prosecution, and applicable rates for various transactions. Stay informed to ensure seamless compliance.
Article explains provisions related to TDS Payment & Return Due Date, TDS Late Fees under section 234E,TDS Interest under Section 201, TDS Penalty under Section 271H, TDS Prosecution under Section 276B and TDS Rate (As Applicable from 01-04-2023 onwards).
TDS Payment & Return Due Date
| Liability for the M/o | TDS Payment Due Date | TDS Return Due Date |
| April | 7th May | 31st July |
| May | 7th June | |
| June | 7th July | |
| July | 7th August | 31st October |
| August | 7th September | |
| September | 7th October | |
| October | 7th November | 31st January |
| November | 7th December | |
| December | 7th January | |
| January | 7th February | 31st May |
| February | 7th March | |
| March | 7th March (Govt case) | |
| March | 30th April (Others) |
TDS Late Fees
| Section: 234E | Late Fees: Rs. 200 Per day |
| Provision: The deductor of TDS shall be liable to pay this for every day of delay | |
| But maximum amount of TDS ((Date of filing of return – Due Date of return)*200) | |
TDS Interest
| Section: 201(1A)(i) | Interest: @1% | |
| Provision: If TDS is not fully/partly deducted, then Interest is to be paid | ||
| From “Date on which tax is deductible to the date on which tax is actually deducted.” | ||
| Section: 201(1A)(ii) | Interest: @1.5% | |
| Provision: If TDS is fully/partly deducted, but not paid to GoI, then Interest shall be paid From the “Date on which tax is deducted to the date on which tax is deposited.” | ||
TDS Penalty
| Section: 271H | Penalty: Rs 10000/- to Rs 100000/- |
| Provision: AO may direct a person who fails to file the TDS/TCS return within the due date or file the incorrect return. | |
TDS Prosecution
| Section: 276B | Rigorous imprisonment: 3 Months to 7 Years + Fine |
| If a person fails to pay TDS to GoI as required under the provisions of Chapter XVII-B. | |
TDS Rate (As Applicable from 01-04-2023 onwards)
| Section | Nature of transaction | Threshold Limit (Rs) | TDS Rate |
| 192 | Payment of salary | Basic exemption limit for employee | Normal Slab Rates |
| 192A | Premature withdrawal from EPF | 50,000 | 10% or 20%, if doesn’t have a PAN |
| 193 | Interest on securities | Debentures- 5,000 | 10% |
| 8% Savings (Taxable) Bonds 2003 or 7.75% Savings (Taxable) Bonds 2018- 10,000 | |||
| Other securities- No limit | |||
| 194 | Payment of any dividend | 5000 | 10% |
| 194A | Interest from other than interest from securities (from deposits with banks/post office/co-operative society) | Senior Citizens- 50,000 | 10% |
| Others- 40,000 | |||
| Interest from other than interest on securities u/s 193 and interest from banks/post office/co-operative society. For e.g., interest from friends and relatives | 5000 | ||
| 194B | Income from lottery winnings, card games, crossword puzzles, and other games of any type | 10000 (Aggregate winnings during a financial year) | 30% |
| 194BA | Income from online games | Nil | 30% |
| 194BB | Income from horse race winnings | 10000 (Aggregate winnings during a financial year) | 30% |
| 194C | Payment to contractor/sub-contractor:- | Single transaction- 30,000, Aggregate transactions- 1,00,000 | |
| a) Individuals/HUF | 1% | ||
| b) Other than Individuals/HU | 2% | ||
| 194D | Insurance commission to: | ||
| a) Domestic Companies | 15000 | 10% | |
| b) Other than companies | 15000 | 5% | |
| 194DA | Income for the insurance pay-out, while payment of any sum in respect of a life insurance policy. | 1,00,000 | 5% |
| 194E | Payment to non-resident sportsmen/sports association | No limit | 20%, *This rate shall be increased by applicable surcharge and 4% cess |
| 194EE | Payment of amount standing to the credit of a person under the National Savings Scheme (NSS) | 2500 | 10% |
| 194F | Payment for the repurchase of the unit by Unit Trust of India (UTI) or a Mutual Fund | No limit | 20% |
| 194G | Payments, commission, etc., on the sale of lottery tickets | 15000 | 5% |
| 194H | Commission or brokerage | 15000 | 5% |
| 194-I | Rent by Individual/HUF liable to Tax Audit | ||
| 194-I(a) Rent on plant and machinery | 2,40,000 | 2% | |
| 194-I(b) Rent on land/building/furniture/fitting | 10% | ||
| 194-IA | Payment in consideration of transfer of certain immovable property other than agricultural land. | 50,00,000 | 1% |
| 194-IB | Rent payment by an individual or HUF is not liable to tax audit | 50,000 per month | 5% |
| 194-IC | Payment under Joint Development Agreements (JDA) to Individual/HUF | No limit | 10% |
| 194J | Any sum paid by way of fee for professional services | 30000 | 10% |
| Any sum paid by way of remuneration/fee/commission to a director | 30000 | 10% | |
| Any sum paid for not carrying out any activity concerning any business; | 30000 | 10% | |
| Any sum paid for not sharing any know-how, patent, copyright, etc. | 30000 | 10% | |
| Any sum paid as a fee for technical services | 30000 | 2% | |
| Any sum paid by way of royalty towards the sale or distribution, or exhibition of cinematographic films | 30000 | 2% | |
| Any sum is paid as fees for technical services, but the payee is engaged in the business of operation of the call centre. | 30000 | 2% | |
| 194K | Payment of any income for units of a mutual fund, for example, dividend | No limit | 10% |
| 194LA | Payment in respect of compensation on acquiring certain immovable property | 2,50,000 | 10% |
| 194LB | Payment of interest on infrastructure debt fund to Non-Resident | No limit | 5%, *This rate shall be increased by applicable surcharge and 4% cess |
| 194LB(1) | Distribution by business trust to its units holders income like Interest, rental income, received from SPV | No limit | 10% |
| 194LBA(2) | Interest income of a business trust from SPV distribution to its unitholders | No limit | 5% |
| 194LBA(2) | Dividend income of a business trust from SPV, in which it holds the entire share capital exempt the capital held by the government, and distribution to its unitholders | No limit | 10% |
| 194LBA(3) | Rental income payment of assets owned by the business trust to the unitholders of such business trust | No limit | 30% |
| 194LBA(3) | Rental income payment of assets owned by the business trust to the unitholders of such business trust | No limit | 40% |
| 194LBB | Certain income paid to a unitholder in respect of units of an investment fund | No limit | 10% |
| 194LBB | Certain income paid to a unitholder in respect of units of an investment fund | No limit | 40% |
| 194LBC | Income from investment in securitisation fund received to an individual and HUF | No limit | 25% |
| Income from investment in a securitisation fund received from a domestic company | 10% | ||
| Income from investment in securitisation fund received to a foreign company | 40% | ||
| Income from investment in securitisation fund received to NRI | 10% | ||
| 194LC | Payment of interest for the loan borrowed in foreign currency by an Indian company or business trust against a loan agreement or the issue of long-term bonds | No limit | 5% |
| 194LC | Payment of interest for the loan borrowed in foreign currency by an Indian company or business trust against the issue of long-term bonds listed in IFSC | No limit | 4% |
| 194LD | Payment of interest on bond (rupee-denominated) to FII or a QFI | No limit | 5% |
| 194M | Certain payments by Individuals/HUF are not liable to deduct TDS under Sections 194C, 194H, and 194J | 50,00,000 | 5% |
| 194N | Cash withdrawal from accounts with Bank, Cooperative society, or post office engaged in the banking business | Co-operative society: 3 Crore | 2% |
| Others: 1 crore | 2% | ||
| Cash withdrawal in case the person not filing ITR for the last three years and the original ITR filing due date expired | Co-operative society: 3 Crore | 5% | |
| Others: 1 crore | 5% | ||
| Others: 20 Lakh | 2% | ||
| 194O | Payment for the sale of goods or provision of services by the e-commerce operator through its digital or electronic facility or platform. | 5,00,000 | 1% or 5% in case PAN is not furnished |
| 194P | Payment of pension or interest to specified senior citizens of age 75 years or more | Basic exemption limit of senior citizens or super senior citizens | Normal tax slab rates |
| 194Q | Payments for the purchase of goods | 50,00,000 | 0.10% |
| 194R | Perquisite or benefit to a business or profession | 20000 | 10% |
| 194S | TDS on the transfer of virtual digital assets | Specified Persons- 50,000 | 1% |
| Others- 10,000 |
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