Calculate Tax Deducted at Source (TDS) under common Indian Income Tax Act sections (194C, 194J, 194H, 194I, 194Q).
Use this free TDS calculator to find the exact TDS amount to deduct from any payment in India.
TDS stands for Tax Deducted at Source. It is a system where the person making a payment deducts a portion of the payment as tax before paying the recipient. The deducted amount is then deposited with the government on behalf of the recipient.
TDS applies to various types of payments including salaries, rent, professional fees, commissions, and contractor payments. The deduction rates are set by the Income Tax Act.
Different payment categories attract different TDS rates. Calculating the correct TDS amount manually can be confusing, especially when payments cross threshold limits. A free online TDS calculator gives you instant, accurate results.
Incorrect TDS deductions can lead to penalties under the Income Tax Act. Using a calculator reduces the risk of calculation errors.
Companies, firms, Hindu Undivided Families (HUF) with audit requirements, and individuals making specified payments above the threshold limits must deduct TDS. If you pay rent above a certain amount, or professional fees to a consultant, you are likely required to deduct TDS.
Check the applicable section of the Income Tax Act or consult a tax advisor to confirm whether you are required to deduct TDS on a specific payment.
Enter the total payment amount and select the applicable TDS rate or section. The calculator shows the TDS amount to be deducted and the net amount that the payee will receive.
For example, for a professional fee of 50,000 rupees with a 10% TDS rate, the TDS is 5,000 rupees and the payee receives 45,000 rupees.
TDS under the Income Tax Act is deducted on the base amount excluding GST. The GST portion is generally not subject to income tax TDS. However, TDS under GST (TDS-GST) is a separate provision that applies to certain government-registered entities.
Always make sure to apply TDS on the correct base amount to stay compliant.
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Common questions about TDS Calculator: Compute Tax Deducted at Source Online for Free on Tez Invoice.
TDS is Tax Deducted at Source. It is a tax deducted by the payer at the time of making a payment. The deducted amount is deposited with the government on behalf of the payee.
Specified entities including companies, firms, and certain HUFs must deduct TDS when making payments like rent, professional fees, commissions, and salaries above threshold limits.
The TDS rate under Section 194J for professional fees is typically 10%. Rates can change; always verify the current rate under the applicable Income Tax section.
Generally, TDS under the Income Tax Act is deducted on the base amount excluding GST. Check with a tax professional for specific situations.
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Yes. Fully responsive.
Thresholds vary by payment type and tax section. For example, rent payments above a certain annual amount attract TDS under Section 194I. Check the Income Tax Act for current thresholds.
No. All calculations happen in your browser.
TDS must typically be deposited by the 7th of the following month. Consult the Income Tax Act or a tax advisor for the exact timeline.
Use the free Invoice Generator on Tez Invoice to create a professional invoice. Note the TDS deduction in the payment terms or notes section.