TDS and TCS rate chart for FY 2026-27, with the new section numbers
From 1 April 2026 the Income-tax Act, 2025 puts TDS on salary in section 392, every other TDS provision in section 393 and TCS in section 394. The rates and thresholds carried over from FY 2025-26. Here is the full chart, listed by the old section numbers everyone still uses.
Reviewed by Vijay Dhawan, Managing Partner, LexVerge LLP, on · Published
Quick answer
The old section numbers are now row numbers in the tables of sections 392 to 394. The Income Tax Department states that the consolidation changed the arrangement, not the rates. The most-searched rows:
| Payment | Threshold | Rate |
|---|---|---|
| Professional fees (old 194J) | ₹50,000 | 10%; 2% for technical services |
| Rent (old 194-I) | ₹50,000 a month | 10% land and building; 2% plant and machinery |
| Contractors (old 194C) | ₹30,000 a payment or ₹1 lakh a year | 1% individuals and HUFs; 2% others |
| Commission (old 194H) | ₹20,000 | 2% |
| Bank interest (old 194A) | ₹50,000; ₹1 lakh for senior citizens | 10% |
| Property purchase (old 194-IA) | ₹50 lakh | 1% |
| Without PAN | Any | 20%, or the normal rate if higher |
Looking for another section? The free income-tax section finder maps 167 provisions from the 1961 Act to the Income-tax Act, 2025.
TDS on payments to residents
| Old section | Payment | Threshold (per year unless stated) | Rate |
|---|---|---|---|
| 192 | Salary | Basic exemption of the chosen regime | Slab rates, computed by the employer; now section 392 |
| 192A | Premature PF withdrawal | ₹50,000 | 10% |
| 193 | Interest on securities | ₹10,000 | 10% |
| 194 | Dividend | ₹10,000 | 10% |
| 194A | Interest other than on securities | Bank, co-operative bank, post office: ₹50,000, or ₹1 lakh for senior citizens; others ₹10,000 | 10% |
| 194B, 194BB | Lottery, game show and horse-race winnings | ₹10,000 per transaction | 30% |
| 194C | Payments to contractors | ₹30,000 a payment or ₹1 lakh a year | 1% individual or HUF payee; 2% others |
| 194D | Insurance commission | ₹20,000 | 2% individual payee; 10% others |
| 194DA | Taxable life insurance payout | ₹1 lakh | 2% of the income part |
| 194G | Lottery ticket commission | ₹20,000 | 2% |
| 194H | Commission or brokerage | ₹20,000 | 2% |
| 194-I | Rent | ₹50,000 a month | 2% plant and machinery; 10% land, building, furniture |
| 194-IA | Purchase of immovable property | ₹50 lakh consideration or stamp value | 1%, paid in Form 141 with PAN |
| 194-IB | Rent paid by individuals and HUFs not under tax audit | ₹50,000 a month | 2%, paid in Form 141 once a year |
| 194J | Professional and technical fees, royalty, director fees | ₹50,000 (no threshold for director fees) | 10% professional; 2% technical services and call centres |
| 194K | Income from mutual fund units | ₹10,000 | 10% |
| 194LA | Compensation on compulsory acquisition | ₹5 lakh | 10% |
| 194M | Contract or professional payments by individuals not under tax audit | ₹50 lakh | 2%, paid in Form 141 |
| 194N | Cash withdrawal from bank or post office accounts; now section 393(3), Table Sl. No. 5 | ₹1 crore; ₹3 crore for co-operative societies | 2% |
| 194-O | E-commerce operator paying sellers | ₹5 lakh for individual and HUF sellers | 0.1% |
| 194Q | Purchase of goods by a buyer with turnover over ₹10 crore | ₹50 lakh a seller | 0.1% on the excess |
| 194R | Business benefits and perquisites | ₹20,000 | 10% |
| 194S | Virtual digital assets | ₹50,000 for specified individuals and HUFs; ₹10,000 others | 1% |
| 194T | Salary, commission, bonus or interest paid by a firm to its partners | ₹20,000 | 10% |
A payee who does not give a PAN is deducted at 20% or the normal rate, whichever is higher (old section 206AA). The separate higher rate for non-filers under the old section 206AB was removed from 1 April 2025. For the thresholds in practice, see TDS on professional fees, TDS on rent, TDS on property purchase, TDS on FD interest and TDS on crypto.
TDS on payments to non-residents
Payments to non-residents (old section 195, now the non-resident table in section 393) have no threshold: tax is deducted on the whole amount at the rate the Act sets for that income, plus surcharge and 4% cess, or at the treaty rate if that is lower and the payee gives a tax residency certificate and Form 41 (formerly Form 10F).
| Income of a non-resident | Rate under the Act, before surcharge and cess |
|---|---|
| Interest on NRO deposits | 30% |
| Dividend; royalty and fees for technical services | 20%, or the treaty rate |
| Long-term gain on listed shares and equity funds | 12.5% above ₹1.25 lakh |
| Short-term gain on listed shares and equity funds | 20% |
| Sale of property held over 24 months | 12.5%, deducted by the buyer on the whole price unless a lower-deduction certificate (Form 128) is obtained; an individual or HUF buyer files Form 141, Schedule E, from 1 October 2026, other buyers Form 144 |
| Salary for work done in India | Slab rates |
Each remittance needs Form 145 and, where tax is involved, a chartered accountant’s Form 146; see when Forms 145 and 146 are required and our NRI tax guide.
TCS: tax collected at source
| Old section | Transaction | Threshold | Rate |
|---|---|---|---|
| 206C(1) | Alcoholic liquor for human consumption | None | 1% |
| 206C(1) | Tendu leaves | None | 5% |
| 206C(1) | Timber and other forest produce | None | 2.5% |
| 206C(1) | Scrap | None | 1% |
| 206C(1) | Minerals: coal, lignite, iron ore | None | 1% |
| 206C(1C) | Parking lot, toll plaza, mining and quarrying lease | None | 2% |
| 206C(1F) | Motor vehicle | Above ₹10 lakh | 1% |
| 206C(1F) | Ten notified luxury goods (from 22 April 2025): wrist watches, art and antiques, collectibles, yachts and private aircraft, sunglasses, handbags, shoes, sportswear and equipment, home theatre systems, race and polo horses | Above ₹10 lakh an item | 1% |
| 206C(1G) | LRS remittance, any purpose other than below | Above ₹10 lakh a year | 20% |
| 206C(1G) | LRS remittance for education or medical treatment | Above ₹10 lakh a year | 5% |
| 206C(1G) | LRS remittance for education funded by a loan from a specified institution | Any | Nil |
| 206C(1G) | Overseas tour programme package | None | 5% up to ₹10 lakh, 20% above |
| 206C(1H) | Sale of goods | Withdrawn from 1 April 2025 | Nil |
A buyer who does not give a PAN is charged twice the rate or 5%, whichever is higher. The TCS statement is Form 143 (formerly 27EQ) and the certificate Form 133 (formerly 27D).
Deposit and return dates
| What | When |
|---|---|
| Deposit of tax deducted or collected | 7th of the next month; 30 April for tax deducted in March |
| TDS on property, rent by individuals and payments under 194M (Form 141) | 30 days from the end of the month of deduction |
| Quarterly statements: Forms 138 (24Q), 140 (26Q), 144 (27Q), 143 (27EQ) | 31 July, 31 October, 31 January, 31 May |
| Certificates: Form 130 (16) yearly, Forms 131 (16A) and 133 (27D) quarterly | 15 June for Form 130; 15 days after the statement due date for the others |
| Late statement | ₹200 a day under section 427 (old 234E), capped at the tax |
See the TDS return due dates page and the full old-to-new form number list.
Check a payment
Enter the payment and amount in our TDS calculator to see whether the threshold is crossed, the rate and the amount to deduct.
Frequently asked questions
What is the TDS rate on professional fees for FY 2026-27?
10% on professional fees and 2% on fees for technical services, once payments to the person cross ₹50,000 in the year. Director sitting fees are deducted at 10% from the first rupee.
What is the TDS threshold on rent for FY 2026-27?
₹50,000 a month. Businesses deduct 10% on land and buildings and 2% on plant and machinery under the old section 194-I; individuals not under tax audit deduct 2% once a year under the old section 194-IB and pay it in Form 141.
Is TCS on sale of goods still applicable?
No. The collection on sale of goods above ₹50 lakh under the old section 206C(1H) was withdrawn from 1 April 2025. Buyers with turnover over ₹10 crore still deduct 0.1% under the old section 194Q.
What is the TDS rate if the payee has no PAN?
20%, or the normal rate for that payment if it is higher. For TCS the collector charges twice the normal rate or 5%, whichever is higher.
Where are the TDS sections in the Income-tax Act, 2025?
Section 392 covers TDS on salary, section 393 covers every other deduction in tables that reuse the old payment categories, and section 394 covers tax collected at source. The late-filing fee is section 427, formerly 234E.
Keep this on your desk.
Form 141 checklist (PDF)
What to collect before you pay TDS on property, rent, contractor fees or crypto, which schedule to pick, and the dates that follow.
New income-tax form numbers 2026 (PDF)
Old-to-new list of every renumbered form and section under the Income-tax Act, 2025, for your desk.
TDS Return Filing from ₹799 a quarter, by a CA.
Quarterly TDS returns filed by a chartered accountant, challans mapped, certificates issued on time.
Professional fee shown; government charges at actuals, quoted in writing before you pay. GST at 18% extra.
See what is included and the full priceDeducting or collecting tax?
We file all four quarterly statements under the 2026 forms, with challan matching and certificates, from ₹799 a quarter.
Keep reading.
Section 393 TDS: every old 194 section mapped to its new table row and code
Every old TDS section (194C, 194J, 194-I and the rest) mapped to its Section 393 table row and Form 140 code, with rates and thresholds.
Read guide→GuideTDS on purchase of goods (section 194Q): who deducts and how much
A buyer with turnover above ₹10 crore deducts 0.1% on purchases from any seller above ₹50 lakh in the year: the calculation, GST, timing, no-PAN rate and returns.
Read guide→GuideForm 141: how to file TDS on property, rent and other payments without a TAN
Form 141 is the single challan-cum-statement for TDS deducted with a PAN: property, rent, contractor payments, crypto and, from 1 October 2026, property bought from a non-resident.
Read guide→Official references
The statutory sources behind this page. We keep our guidance aligned to them: verify anything time-sensitive directly.
- Ministry of Corporate AffairsCompanies Act filings, forms and fee schedules
- Income Tax DepartmentReturns, forms, rates and e-filing utilities
- GST PortalRegistration, returns and rate notifications
Facts on this page are checked against these sources; the date of the last check is shown at the top of the page. It is general guidance, not advice on your specific facts. How we write and check our guides.