TDS Rate Chart FY 2026-27
Every section, threshold and rate for AY 2027-28 — plus what the Income Tax Act, 2025 renumbered on 1 April 2026. Free PDF and Excel.
The Excel is filterable by section and by resident/non-resident. Both files carry the Act 2025 section mapping.
Your Section Numbers Changed on 1 April 2026
This is the first financial year under the Income Tax Act, 2025, which replaced the 1961 Act. The TDS provisions were not just renumbered one-for-one — they were consolidated:
| Old section | New | What it covers |
|---|---|---|
| 192 | 392 | TDS on salary |
| 193, 194, the whole 194A–194T series, and 195 | 393 | All non-salary TDS, resident and non-resident, in one section |
| 206C | 394 | Tax collected at source |
The forms were renamed at the same time:
| Was | Now | What it is |
|---|---|---|
| Form 16 | Form 130 | Annual TDS certificate for salary |
| Form 16A | Form 131 | TDS certificate, non-salary |
| Form 27D | Form 133 | TCS certificate |
| Form 24Q | Form 138 | Quarterly TDS return, salary |
| Form 26Q | Form 140 | Quarterly TDS return, non-salary |
| Form 3CD | Form 26 | Tax audit report |
The rates and thresholds carried forward unchanged. What changed is which number you quote and what your returns are called. The chart below keeps the familiar old section numbers as the primary reference, because that is still how everyone refers to them — with the mapping alongside.
TDS Rate Chart — Resident Payees, FY 2026-27
| Section | Nature of payment | Threshold | Rate |
|---|---|---|---|
| 192 | Salary | Basic exemption limit | Slab rates |
| 192A | Premature EPF withdrawal | Rs 50,000 | 10% |
| 193 | Interest on securities | Rs 10,000 | 10% |
| 194 | Dividend | Rs 10,000 | 10% |
| 194A | Interest from bank / post office / co-op (non-senior) | Rs 50,000 | 10% |
| 194A | Interest from bank / post office / co-op (senior citizen) | Rs 1,00,000 | 10% |
| 194A | Interest other than from a bank | Rs 10,000 | 10% |
| 194B | Winnings from lottery, crossword, card games | Rs 10,000 per transaction | 30% |
| 194BA | Net winnings from online games | No threshold | 30% |
| 194BB | Winnings from horse races | Rs 10,000 per transaction | 30% |
| 194C | Payment to contractor / sub-contractor | Rs 30,000 single or Rs 1,00,000 a year | 1% individual or HUF, 2% others |
| 194D | Insurance commission | Rs 20,000 | 2% individual or HUF, 10% company |
| 194DA | Life insurance payout (taxable part only) | Rs 1,00,000 | 2% |
| 194EE | Payment out of National Savings Scheme deposits | Rs 2,500 | 10% |
| 194G | Commission on sale of lottery tickets | Rs 20,000 | 2% |
| 194H | Commission or brokerage | Rs 20,000 | 2% |
| 194-I(a) | Rent of plant, machinery or equipment | Rs 50,000 a month | 2% |
| 194-I(b) | Rent of land, building, furniture or fittings | Rs 50,000 a month | 10% |
| 194-IA | Purchase of immovable property | Rs 50,00,000 | 1% |
| 194-IB | Rent paid by an individual or HUF not under tax audit | Rs 50,000 a month | 2% |
| 194-IC | Payment under a joint development agreement | No threshold | 10% |
| 194J(a) | Fees for technical services, royalty for cinema films, call centres | Rs 50,000 | 2% |
| 194J(b) | Professional fees, director's fees, other royalty, non-compete fees | Rs 50,000 | 10% |
| 194K | Income from mutual fund units | Rs 10,000 | 10% |
| 194LA | Compensation on compulsory acquisition of immovable property | Rs 5,00,000 | 10% |
| 194M | Contract, commission or professional fees paid by an individual or HUF | Rs 50,00,000 | 2% |
| 194N | Cash withdrawn from a bank in a year | Rs 1,00,00,000 | 2% |
| 194-O | Payment by an e-commerce operator to a participant | Rs 5,00,000 | 0.1% |
| 194Q | Purchase of goods | Rs 50,00,000 | 0.1% |
| 194R | Benefit or perquisite from business or profession | Rs 20,000 | 10% |
| 194S | Transfer of a virtual digital asset | Rs 10,000 (Rs 50,000 specified persons) | 1% |
| 194T | Salary, remuneration, commission, bonus or interest paid to a partner | Rs 20,000 | 10% |
Non-Resident Payees
| Section | Nature of payment | Threshold | Rate |
|---|---|---|---|
| 195 | Any sum chargeable to tax paid to a non-resident | No threshold | Rate in force for the income, or the DTAA rate if lower |
| 194E | Payment to a non-resident sportsman, sports association or entertainer | No threshold | 20% |
| 194LC | Interest on foreign currency borrowings or long-term bonds | No threshold | 5% (4% or 9% for specified bonds) |
| 196A | Income of a non-resident from units of a mutual fund | No threshold | 20% or the DTAA rate |
| 196B | Income from units held by an offshore fund | No threshold | 10% |
| 196C | Income from foreign currency bonds or GDRs | No threshold | 10% |
| 196D | Income of a Foreign Institutional Investor from securities | No threshold | 20% or the DTAA rate |
The Rows Most Charts Get Wrong
Every one of these was found stated incorrectly on at least one widely-used chart while this file was compiled — including, in one case, on the income-tax department's own static FAQ page.
194D — Still published at 5% almost everywhere, including a stale static page on the income-tax department's own site. It has been 2% for individual and HUF payees since 1 April 2025. A domestic company payee remains 10%.
194-I — The threshold is Rs 50,000 A MONTH, not Rs 2,40,000 a year. Raised with effect from 1 April 2025, so a tenant paying Rs 45,000 a month deducts nothing.
194T — New, and missing from several charts entirely. A firm paying its own partners salary, interest or bonus above Rs 20,000 in the year has had to deduct 10% since 1 April 2025.
194J — Two different rates under one section number. Technical services are 2%; professional fees are 10%. Deducting 10% on a technical-service bill is the commonest over-deduction there is.
194A — Three different thresholds. Rs 50,000 for bank interest, Rs 1,00,000 if the depositor is a senior citizen, and only Rs 10,000 for interest that is not from a bank.
If PAN Is Not Furnished
Deduct at 20%, or the rate specified in the section, whichever is higher. Under 194-O and 194Q the no-PAN rate is 5%.
Sections 206AB and 206CCA — which charged a higher rate to people who had not filed their returns — were omitted with effect from 1 April 2025. You no longer need to check a payee's filing status before deducting, which removes a compliance step that caused a great deal of work.
TCS Rates That Did Change on 1 April 2026
TDS rates carried forward, but several TCS rates moved — three increases and one large cut:
| Item | Was | From 1 Apr 2026 |
|---|---|---|
| Alcoholic liquor for human consumption | 1% | 2% |
| Scrap | 1% | 2% |
| Coal, lignite and iron ore | 1% | 2% |
| Tendu leaves | 5% | 2% |
| Overseas tour programme package | 5% to 20%, tiered | 2% flat |
Before You Rely on This
Compiled on 29 July 2026 by cross-checking independent published FY 2026-27 charts against each other and resolving where they disagreed — the "rows most charts get wrong" section above is what that turned up. Rates change with each Finance Act and with mid-year notifications. For a payment of any size, confirm against the income-tax department's own material before you deduct. This is a working reference, not advice.
Frequently Asked Questions
What changed in TDS from 1 April 2026?
The Income Tax Act, 2025 replaced the 1961 Act on 1 April 2026 and renumbered the TDS sections. Section 192 became 392, every non-salary provision from 193 through 195 including the whole 194 series was consolidated into section 393, and TCS moved from 206C to 394. The certificates and returns were renamed too: Form 16 is now Form 130, Form 16A is Form 131, Form 24Q is Form 138 and Form 26Q is Form 140. The TDS rates and thresholds themselves carried forward unchanged.
What is the TDS rate on rent for FY 2026-27?
Two rates under section 194-I. Rent of plant, machinery or equipment is 2 per cent. Rent of land, building, furniture or fittings is 10 per cent. The threshold is Rs 50,000 a month, raised from Rs 2,40,000 a year with effect from 1 April 2025, so a tenant paying Rs 45,000 a month deducts nothing.
What is the TDS rate on professional fees?
Section 194J carries two rates. Fees for technical services, call centre payments and royalty for cinematograph films are 2 per cent. Professional fees, director's fees, other royalty and non-compete fees are 10 per cent. The threshold is Rs 50,000 for each category. Deducting 10 per cent on a technical service bill is the commonest over-deduction under this section.
What is the TDS rate if PAN is not provided?
Deduct at 20 per cent, or at the rate specified in the section, whichever is higher. Under sections 194-O and 194Q the no-PAN rate is 5 per cent. Sections 206AB and 206CCA, which charged a higher rate to people who had not filed their returns, were omitted with effect from 1 April 2025, so you no longer need to check filing status before deducting.
Is TDS deducted on payments to partners of a firm?
Yes. Section 194T has applied since 1 April 2025. A firm paying a partner salary, remuneration, commission, bonus or interest above Rs 20,000 in a financial year must deduct 10 per cent. This section is missing from several published charts.