Start with the payment, payee and amount. See the likely section, current threshold, indicative rate and facts requiring review.
Resident payments · Non-resident review pathway01
Payment facts
Find the likely section and rate.
₹
₹
Likely provisionSection 194J
Professional fees / royalty
Indicative TDS rate10%
assuming valid PAN
Estimated TDS₹10,000
on ₹1,00,000
TDS appears applicable
Threshold: ₹50,000 annually
Technical services, call-centre payments and specified film royalty generally attract 2% instead.
Review before deduction
- The professional-versus-technical classification can change the rate from 10% to 2%.
Scope of the finder
The rate follows the legal character of the payment.
The finder covers frequently used resident-payment provisions. It does not determine whether the payer is obliged to deduct, whether an exemption certificate applies, or whether the payment is chargeable in the hands of a non-resident.
Always review the agreement, invoice, payer status, aggregate payments, PAN, lower-deduction certificate and timing of credit or payment before depositing TDS.