Practical Approach to TDS & TCS

Part A

Tax to be Deducted on Salary and Accumulated
                       Balance due to an Employee                      

Part B

Tax to be Deducted at Source for
                            Payments to Residents                           

• Chapter B-1    TDS on Insurance Commission [(Sec 393(1) Table SI. 1(i) ITA 2025) (Sec 194D ITA 1961)]
• Chapter B-2    Commission or Brokerage [(Sec 393(1) Table SI.1(ii) ITA 2025) (Sec 194H ITA 1961)]
• Chapter B-3    TDS on Payment of Rent by Certain Individual/HUF [(Sec 393(1) Table S1.2(i) ITA 2025) (Sec 194IB ITA 1961)]
• Chapter B-4    Rent [(Sec 393(1) Table Sl.2(ii) ITA 2025) (Sec 194I ITA 1961)]
• Chapter B-5    TDS on Payment on Transfer of certain Immovable Property other than Agricultural Land [(Sec 393(1) Table SI.3(i) ITA 2025) (Sec 194-IA ITA 1961)]
• Chapter B-6    TDS on Payment made under Specified Agreement [(Sec 393(1) Table SI.3(ii) ITA 2025) (Sec 194IC ITA 1961)]
• Chapter B-7    TDS on Payment of Compensation on Acquisition of Certain Immovable Property [(Sec 393(1) Table SI.3(iii) ITA 2025) (Sec 194LA ITA 1961)]
• Chapter B-8    Tax Deduction on Income from Mutual Fund Units [(Sec 393(1) Table SI.4(i) ITA 2025) (Sec 194K ITA 1961)]
• Chapter B-9    TDS on Certain Income from Units of a Business Trust [(Sec 393(1) Table SI.4(ii) ITA 2025) (Sec 194LBA ITA 1961)]
• Chapter B-10  TDS on Income of Units of Investment Fund [(Sec 393(1) Table SI.4(iii) ITA 2025) (Sec 194LBB ITA 1961)]
• Chapter B-11  TDS on Income from Investment in Securitization Fund [(Sec 393(1) Table SI.4 (iv) ITA 2025) (Sec 194LBC ITA 1961)]
• Chapter B-12  Interest on Securities [(Sec 393(1) Table SI.5(i) ITA 2025) (Sec 193 ITA 1961)]
• Chapter B-13  Interest other than Interest on Securities [(Sec 393(1) Table SI.5(ii)(iii) ITA 2025) (Sec 194A ITA 1961)]
• Chapter B-14  Payments to Contractors and Sub-Contractors [(Sec 393(1) Table SI.6(i) ITA 2025) (Sec 194C ITA 1961)]
• Chapter B-15  TDS on Payments of Certain Sums by Individual and HUF [(Sec 393(1) Table SI.6(ii) ITA 2025) (Sec 194M 1961)]
• Chapter B-16  Fees for Professional or Technical Services [(Sec 393(1) Table SI.6 ITA 2025) (Sec 194J ITA 1961)]
• Chapter B-17  Dividends [(Sec 393(1) Table Sl.7 ITA 2025) (Sec 194 ITA 1961)]
• Chapter B-18  TDS on Payment in respect of Life Insurance Policy [(Sec 393(1) Table SI.8(i) ITA 2025) (Sec 194DA ITA 1961)]
• Chapter B-19  Deduction of Tax at Source on Purchase of Goods [(Sec. 393(1), Table Sl. No. 8(ii) ITA 2025) (Sec 194Q ITA 1961)]
• Chapter B-20  Deduction of Tax by a Specified Bank in Case of Specified Senior Citizen [(Sec 393(1) Table Sl.8(iii) ITA 2025) (Sec 194P ITA 1961)]
• Chapter B-21  TDS on Perquisites in respect of Business [(Sec 393(1) Table Sl.8(iv) ITA 2025) (Sec 194R ITA 1961)]
• Chapter B-22  TDS on Payments made to e-Commerce Participants [(Sec 393(1) Table Sl.8(v) ITA 2025) (Sec 194O ITA 1961)]
• Chapter B-23  Payment on Transfer of Virtual Digital Asset [(Sec 393(1) Table 8(vi) ITA 2025) (Sec 194S ITA 1961)]

Part C

Tax to be deducted at Source for Payments to Non-Residents

• Chapter C-1    Payment to Non-Resident Sports Men or Sports Association [(Sec 393(2) ITA 2025 Table S. No 1) (Sec 194E ITA 1961)]
• Chapter C-2    Income by way of Interest from an Indian Company or Business Trust [(Sec 393(2) ITA 2025 Table S. No 2-4) (Sec 194LC ITA 1961)]
• Chapter C-3    TDS on Interest from Infrastructure Debt Fund [(Sec 393(2) ITA 2025 Table S. No 5) (Sec 194LB ITA 1961)]
• Chapter C-4    TDS on certain Income from Units of a Business Trust [(Sec 393(2) ITA 2025 Table S. No 6-7) (Sec 194LBA ITA 1961)]
• Chapter C-5    TDS on Income of Units of Investment Fund [(Sec 393(2) ITA 2025 Table S. No. 8) (Sec 194LBB ITA 1961)]
• Chapter C-6    TDS on Income from Investment in Securitization Fund [(Sec 393(2) ITA 2025 Table S. No. 9) (Sec 194LBC ITA 1961)]
• Chapter C-7    Income in respect of Units of Non-Residents [(Sec 393(2) Table S. No 10 ITA 2025) (Sec 196A ITA 1961)]
• Chapter C-8    TDS on Income from Units [(Sec 393(2) Table S. No. 11-12 ITA 2025) (Sec 196B ITA 1961)]
• Chapter C-9    TDS on Income from Foreign Currency Bonds or GDR [(Sec 393(2) ITA 2025 Table S. No. 13-14) (Sec 196C ITA 1961)]
• Chapter C-10  TDS on Income of FII from Securities [(Sec 393(2) ITA 2025 Table S. No. 15-16) (Sec 196D ITA 1961)]
• Chapter C-11  TDS on other sums payable to Non-Resident [(Sec 393(2) ITA 2025 Table S. No. 17) (Sec 195 ITA 1961)]

Part D

Tax to be deducted at source for Payments to any Person

• Chapter D-1   Winnings from Lotteries or Crossword Puzzles [(Sec 393(1) Table SI.1 ITA 2025) (Sec 194B ITA 1961)]
• Chapter D-2   Winnings from Online Games [(Sec 393(1) Table SI.2 ITA 2025) (Sec 194BA ITA 1961)]
• Chapter D-3   Winnings from Horse Races [(Sec 393(1) Table Sl.3 ITA 2025) (Sec 194BB ITA 1961)]
• Chapter D-4   Commission on Sale of Lottery Tickets [(Sec 393(1) Table Sl.4 ITA 2025) (Sec 194G ITA 1961)]
• Chapter D-5   Cash Withdrawal [(Sec 393(1) Table Sl.5 ITA 2025) (Sec 194N ITA 1961)]
• Chapter D-6   Payments in respect of NSS [(Sec. 393(3) (Table Sl. 6) ITA 2025) (Sec 194EE ITA 1961)]
• Chapter D-7   Payments to Partners of Firms [(Sec 393(1) Table Sl.7 ITA 2025) (Sec 194T ITA 1961)]

Part E

                        Collection of Tax at Source                       

Part F

Procedural Mechanism for Deposit and Reporting of TDS and TCS      

• Chapter F-1    Compliance and Reporting of TDS and TCS [Section 397 (erstwhile sections 203A, 206CA of ITA 1961)]
• Chapter F-2    Processing of TDS and TCS Returns
• Chapter F-3    Consequences for Failure to Deduct/Collect or Deposit TDS or TCS
• Chapter F-4    Certificates (Sec 395)
• Chapter F-5    Tax Deducted is Income Received (Sec 396)
• Chapter F-6    Non-Deduction of TDS in Certain Cases

Part G

Mechanism for Examination of TDS/TCS Compliance in Tax Audit Report by Auditors

• Chapter G-1   Checklist for Clause 34 of Tax Audit Report to be considered by Auditors