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December 29, 2025

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CBDT TDS Rate Chart Revision 2024–25: Latest Updates

CBDT TDS Rate Chart Revision: Latest Updates You Need To Know

Tax Deducted at Source (TDS) is one of the most important compliance mechanisms under the Income Tax Act. Every year, the Central Board of Direct Taxes (CBDIT) releases updates or clarifications on applicable TDS rates, thresholds, and rules. For FY 2024–25 (AY 2025–26), the CBDT has issued updated guidelines to streamline tax collection and reduce non-compliance. This guide simplifies the latest CBDT TDS rate chart, major changes, payment thresholds, due dates, and compliance rules that every taxpayer, business, and professional must follow.

What is TDS?

TDS is a tax collected at the source of income. When a payment is made — like salary, rent, professional fees, commission, or interest — the payer deducts tax at a specified rate and deposits it with the government.

Purpose of TDS:

Ensures the government of a constant inflow of taxes.
Thwarts tax evasion
Smoothes tax obligation over the year.
Smooths the path for compliance with payers and recipients.

CBDT Latest TDS Rate Chart (FY 2024-25)

Below is the complete, updated TDS rate chart as applicable for the current financial year.

TDS Rate Table for FY 2024–2025

Section	Nature of Payment	Threshold Limit	TDS Rate
192	Salary	As per slab	Slab rate
192A	Withdrawal from EPF	₹50,000	10%
193	Interest on securities	₹5,000	10%
194	Dividend	₹5,000	10%
194A	Interest (Banks/others)	₹40,000 (₹50k for seniors)	10%
194C	Contractor Payments	₹30,000 per contract	1% (individual), 2% (others)
194H	Commission/Brokerage	₹15,000	5%
194I	Rent — Plant/Machinery	₹2,40,000	2%
194I	Rent — Land/Building/Furniture	₹2,40,000	10%
194IA	Property Purchase	₹50 lakh	1%
194IB	Rent paid by Individuals (Non-audit)	₹50,000/month	5%
194J	Professional Fees	₹30,000	10%
194Q	Purchase of Goods	₹50 lakh	0.10%
194DA	Insurance Payout	₹1 lakh	5%
194O	Payments by e-commerce operators	₹5 lakh	1%
194N	Cash Withdrawal	₹1 crore	2%
195	Payments to Non-Residents	No limit	Rates vary (DTAA applicable)
196D	FII Income	No limit	20%

Suggested Read: Difference Between TDS and TCS

New Amendments in the TDS Provisions Updated by CBDT 2024—2025

Improved compliance monitoring

The working of the CBDT is now along the following lines:

Delayed TDS deposits
PAN entry wrong
Non-filing of TDS returns
Form 26AS not matching with Return-TDS return.

Non-compliances automatically trigger notices.

Higher TDS for Non-Filers (Section 206AB)

If a payee has not filed an ITR for the previous year, then

The TDS = 2x specified rate or 5% (whichever is higher)

This applies to:

Professional remittances
Contractor Payments
Tenancy
Commission
Dividend
Interest
purchase of goods (194Q)

For more information you can checkout: CBDT Official Portal

You can also checkout: TRACES TDS Portal

Aadhaar-PAN Linking Mandatory

In case PAN is not linked with Aadhaar:

PAN is rendered inoperative
TDS deducted at 20% excluding sections that have higher rates.

TDS on Virtual Digital Assets (Crypto) continues

No change in 1% TDS on crypto transfers.

TDS Return Filing Due Dates (FY 2024 – 2025)

Quarter	Period	Due Date
Q1	Apr–Jun	31 July
Q2	Jul–Sep	31 Oct
Q3	Oct–Dec	31 Jan
Q4	Jan–Mar	31 May

TDS Certificate Due Dates (Form 16 & 16A)

Form	Description	Due Date
Form 16	Salary TDS certificate	15 June
Form 16A	Non-salary TDS certificate	Quarterly

How to Deposit TDS Online

You must deposit the TDS within 7 days of the next month (except March, where the due date is 30 April).

Directions:

Go to the website, TIN-NSDL.
Select Challan ITNS 281
Enter TAN, Assessment year, Type of payment
Pay by Net Banking/NEFT
Please keep the CIN number for further correspondence.

Importance of knowing the rates of CBDT TDS

The knowledge of the exact rates of TDS helps in the following:

Avoid notices and penalties
Reconciliation of Form 26AS should be smooth.
Minimize errors in AIS/TIS
Follow through with the requirements for audits.
Avoid higher TDS under Section 206AB

Example Cases

Example 1 - Contractor Payment

Quantity: ₹ 5,00,000 to individual contractor
TDS 1% = 5,000

Example 2 — Professional Fees

Pay: ₹80,000.
TDS: 10% = ₹8,000

Example 3 — Office Rent

Rent: ₹50,000/month
Annual: ₹6,00,000
TDS: 10%= ₹ 60,000

For more information about TDS you can checkout: TDS Rate Chart for FY 2024-2025 (AY 2025-2026)

FAQs

What is the latest TDS rate as per CBDT for FY 2024–2025?

The latest TDS rates range from 1% to 30%, depending on the section. The complete chart is provided above.

Is TDS mandatory for everyone?

Yes, if you make specified payments like salary, rent, contract payments, professional fees, etc., TDS must be deducted.

What happens if TDS is not deducted?

You face:

Interest under Section 201
Penalties
Disallowance of expenses (30%)

Who is exempt from TDS?

Individuals with Form 15G/15H for eligible interest income.

How can I check if TDS is reflecting?

Check Form 26AS, AIS, and TIS on the Income Tax portal.

Conclusion

The latest CBDT TDS rate chart for FY 2024–25 highlights the government’s continued focus on strengthening tax compliance, improving transparency, and ensuring timely collection of taxes. Whether you are a small business owner, salaried employee, freelancer, or a large corporation, understanding TDS rates is no longer optional—it is essential for avoiding notices, penalties, and unnecessary financial stress.

With the government making it clear that compliance cannot be ignored, especially with stricter enforcement under Sections like 206AB and mandatory PAN–Aadhaar linkage, the onus to stay updated remains paramount. In addition, quarterly return deadlines, issuance of TDS certificates, and reconciliation of Form 26AS and AIS are extremely crucial to ensure smooth tax filing. With most businesses fast moving towards digitization of their payments and financial workflows, knowledge of the correct TDS section and rate for every type of transaction facilitates accuracy and prevents financial discrepancies. The above-detailed CBDT TDS chart helps the taxpayer in staying compliant, avoiding litigation, and remaining confident about the rules.

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