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TDS Calculator

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TDS Amount

10,000

Surcharge Amount

0

Health & Education Cess

400

Total TDS Deduction

10,400

Net Amount Payable

89,600

TDS Breakup

Keep TDS certificates for tax credit claim.

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TDS Calculation Components

TDS calculation involves the following components:

  1. 1. Basic TDS = Payment Amount × TDS Rate
  2. 2. Surcharge = Basic TDS × Surcharge Rate (if applicable)
  3. 3. Health & Education Cess = (Basic TDS + Surcharge) × 4%
  4. 4. Total TDS = Basic TDS + Surcharge + Cess

Understanding TDS

Tax Deducted at Source (TDS) is a method of collecting tax at the source of income. The person making specified payments is required to deduct a certain percentage of tax before making payment to the recipient.

TDS Rate

Varies based on payment type

Surcharge

Applicable on higher incomes

Cess

Fixed at 4% on tax amount

How to Use This Calculator

  1. Enter the payment amount
  2. Select applicable TDS rate
  3. Choose surcharge rate if applicable
  4. Health & Education Cess is fixed at 4%
  5. Click Calculate to see detailed breakup

Common TDS Rates

  • Salary: As per slab rates
  • Interest: 10%
  • Professional Fees: 10%
  • Rent: 10% for individuals
  • Commission/Brokerage: 5%

Frequently Asked Questions

What is TDS?

TDS (Tax Deducted at Source) is a system of collecting tax where the person making specified payments deducts tax at source and pays the net amount to the recipient. The tax is then deposited with the government.

When is surcharge applicable?

Surcharge is applicable when total income exceeds specified limits: 10% for income above ₹50 lakhs, 15% above ₹1 crore, 25% above ₹2 crores, and 37% above ₹5 crores.

What is Health and Education Cess?

Health and Education Cess is levied at 4% on the amount of income tax and surcharge. It's used to fund education and health programs of the government.

Can TDS be avoided?

In some cases, TDS can be reduced or avoided by submitting Form 15G/15H or obtaining a lower/nil deduction certificate from the Income Tax Department under section 197.

How to claim TDS refund?

If excess TDS has been deducted, you can claim a refund while filing your income tax return. The refund will be processed after verification of your return.

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