TDS Calculator – Tax Deducted at Source Calculator (FY 2025-26)
Calculate TDS on salary, interest, rent, professional fees, contractors, commission & more. Instant results with net payable amount. Updated rates for FY 2025-26. Private & accurate.
TDS Calculator – Free Online Tax Deducted at Source Calculator for FY 2025-26
Tax Deducted at Source (TDS) is a system under which the payer of certain incomes is required to deduct tax before making the payment to the recipient and deposit it with the government. It helps in advance collection of tax and widens the tax base. Whether you are a business making payments to contractors, a company paying professional fees, a tenant paying rent, or an individual receiving interest, knowing the correct TDS amount is essential for compliance and cash-flow planning.
This free TDS Calculator is updated for Financial Year 2025-26 (Assessment Year 2026-27). It covers the most commonly used sections, applies the correct rates based on the nature of payment and type of payee, respects threshold limits, and automatically applies the higher rate when PAN is not available. The tool is completely private, runs in your browser, and uses a clean minimal white design suitable for embedding in WordPress or any website.
Why Use This TDS Calculator?
Manual calculation of TDS can lead to errors – wrong rate, ignored threshold, or forgetting the higher rate under Section 206AA when PAN is missing. This calculator removes those risks and gives you instant, clear results:
- Covers major sections: 194A, 194C, 194H, 194I, 194J, 194IA, 194IB, 192, 194B and custom rate
- Automatic selection of rate based on Individual/HUF vs Company/Others (important for 194C)
- Threshold check – skips TDS when payment is below the prescribed limit
- Higher rate (usually 20%) when PAN is not available
- Shows both TDS amount and net amount payable to the recipient
- Clear description of the section and important notes
- No registration, no data storage, works offline once loaded
How to Use the TDS Calculator
- Select the nature of payment / TDS section from the dropdown.
- Choose whether the payee is an Individual/HUF or a Company/Firm/Others.
- Enter the gross payment amount.
- Indicate whether the payee has provided a valid PAN.
- Keep the threshold checkbox enabled if you want the calculator to respect the minimum limit (recommended).
- For “Other / Custom Rate”, enter the percentage manually.
- Click “Calculate TDS”. You will immediately see the TDS amount, net payable and a detailed explanation.
Common TDS Sections and Rates (FY 2025-26)
Here is a quick reference of the rates used by this calculator (subject to the latest notifications):
- Section 194A – Interest other than interest on securities: 10% (threshold ₹50,000 for bank/post office interest; higher for senior citizens; ₹10,000 for other interest).
- Section 194C – Payments to contractors: 1% if payee is Individual/HUF, 2% in other cases. Threshold: ₹30,000 per single payment or ₹1,00,000 aggregate in a financial year.
- Section 194H – Commission or brokerage: 2% (threshold ₹20,000).
- Section 194I – Rent: 10% for land/building/furniture; 2% for plant & machinery. Annual threshold raised to ₹6,00,000 in many cases.
- Section 194J – Professional or technical fees: 10% for professional services; 2% for technical services, call-centre services and certain royalties (threshold ₹50,000).
- Section 194IA – Transfer of immovable property: 1% (threshold ₹50 lakh).
- Section 194IB – Rent paid by individuals/HUF not liable to tax audit: 2% when monthly rent ≥ ₹50,000.
- Section 192 – Salary: Deducted as per the applicable income-tax slab rates and regime chosen by the employee.
- Section 194B – Winnings from lotteries, crossword puzzles, games: 30%.
When the deductee does not furnish PAN, Section 206AA generally requires deduction at a higher rate (20% or the rate specified in the relevant section, whichever is higher).
Important Rules Every Deductor Should Know
Threshold limits matter
Many sections have a threshold. If the payment (or aggregate payments in a year) stays below the limit, no TDS is required. This calculator respects those limits when the checkbox is enabled.
Form 15G / 15H
Resident individuals and senior citizens can submit Form 15G or 15H to avoid TDS on interest if their total income is below the taxable limit. The calculator does not automatically consider these forms; you must decide whether to deduct or not based on the declaration received.
Lower or Nil deduction certificate
The recipient can apply to the Assessing Officer for a certificate of lower or nil deduction under Section 197. If such a certificate is produced, deduct at the rate mentioned in the certificate.
Due dates for deposit and return
TDS must be deposited by the 7th of the following month (30th April for March). Quarterly TDS returns (Form 26Q, 24Q etc.) have their own due dates. Late deposit or late filing attracts interest and fees.
TAN is mandatory
Any person responsible for deducting TDS must obtain a Tax Deduction and Collection Account Number (TAN).
Who Should Use This TDS Calculator?
- Businesses and freelancers making payments to vendors, contractors or professionals
- Companies and LLPs processing vendor payments and professional fees
- Landlords and tenants dealing with rent payments above the threshold
- Accountants and tax consultants who need a quick reference tool
- Individuals who want to know how much tax will be deducted from their interest, commission or other income
- Property buyers calculating TDS under Section 194IA
Practical Tips to Stay Compliant
Always collect PAN of the deductee before making the payment. Missing PAN not only triggers higher TDS but also creates difficulties in claiming credit for the recipient.
Maintain proper records of invoices, contracts, PAN, and any 15G/15H or lower-deduction certificates. These documents are essential during assessment or when the deductee claims credit in their return.
Reconcile the TDS you have deducted with Form 26AS / Annual Information Statement of the deductee. Mismatches are a common reason for notices.
If you are a small deductee (for example an individual paying rent under 194IB), remember that you still need to deposit the TDS and file the prescribed statement even if you do not have a TAN in some cases (though obtaining TAN is advisable).
Frequently Asked Questions
1. What is TDS and why is it deducted?
TDS stands for Tax Deducted at Source. It is a mechanism under the Income Tax Act where the payer deducts tax at the prescribed rate before making certain payments and deposits it with the government. It ensures advance tax collection and reduces tax evasion.
2. What happens if PAN is not provided by the payee?
Under Section 206AA, TDS is generally deducted at a higher rate of 20% (or the rate specified in the relevant section, whichever is higher) when the deductee fails to furnish PAN.
3. Is TDS applicable if the payment is below the threshold?
No. Most sections have a threshold limit. If the single payment or the aggregate payment in a financial year stays below the threshold, TDS is not required to be deducted.
4. What is the TDS rate on payments to contractors under Section 194C?
1% if the contractor is an Individual or HUF, and 2% in all other cases. Threshold is ₹30,000 for a single payment or ₹1,00,000 aggregate in a financial year.
5. What is the TDS rate on rent under Section 194I?
10% for rent on land, building or furniture and 2% for rent on plant and machinery. The annual threshold has been revised upward in recent years (commonly ₹6 lakh for many deductors).
6. Can I avoid TDS on interest by submitting Form 15G/15H?
Yes. Eligible resident individuals and senior citizens can submit Form 15G or 15H to the bank or payer declaring that their total income is below the taxable limit. In such cases the payer need not deduct TDS.
7. Who is responsible for depositing the TDS?
The person who makes the payment (the deductor) is responsible for deducting TDS, depositing it with the government within the due date, and filing the quarterly TDS return.
8. What is the due date for depositing TDS?
Generally, TDS deducted during a month must be deposited by the 7th of the following month. For TDS deducted in March, the due date is 30th April.
9. Does this calculator cover salary TDS under Section 192?
It provides a simple estimate. Actual TDS on salary depends on the employee’s total income, deductions, regime chosen (old or new), and the tax slabs. Employers usually use detailed payroll software for precise calculation.
10. Can I embed this TDS Calculator on my website or WordPress site?
Yes. The code is fully self-contained HTML, CSS and JavaScript with no external dependencies. Simply paste it into a Custom HTML block.
Final Notes
Correct TDS calculation and timely compliance protect both the deductor and the deductee from interest, penalties and notices. Use this calculator for quick estimates while preparing payments or verifying deductions. For complex transactions, lower-deduction certificates, or when multiple sections could apply, consult a chartered accountant or tax professional.
Tax rates and thresholds are subject to change through the Finance Act and CBDT notifications. This tool reflects the commonly applicable rates for FY 2025-26 at the time of creation. Always cross-check with the latest official rate chart before finalising large or sensitive payments.
Disclaimer: This TDS Calculator provides estimates based on standard rates and thresholds for FY 2025-26. It is not a substitute for professional tax advice. Actual TDS liability may differ due to specific facts, declarations, certificates or subsequent amendments in the law. Users should verify the results with official sources or a qualified tax advisor.