TDS Calculator

Recipient
Individual/HUF/Sole Proprietor
Others

PAN of recipient is available

Yes

Yes
No

Nature of payment

192A - Premature withdrawal from EPF

192A - Premature withdrawal from EPF
193 - Interest on securities
194 - Divident other than dividend as referred to in Section 115-O
194A - Interest other than banks
194A - Interest from banks
194B - Income from lottery winnings, and other games of any type
194BB - Income from horse race winnings
194C - Single Payment to Contractor/Subcontractor
194C - FY Payment to Contractor/Subcontractor
194D - TDS on insurance commision
194H - Commision or brokerage
194I(A) - Rent on plant and machinery
194I(B) - Rent on land & building or furniture & fitting
194IA - Transfer of certain immovable property other than agricultural land.
194IA - Rent payment to landlord.
194J - Fees for professional service/royalty.
194J - Fees for technical service/call center.
194K - Payment of any income for units of a mutual fund, for example, dividend.
194O - Payment for sale of goods or provision of services by e-commerce operator.
Amount of payment

Total TDS

Tax deducted at source is a particular amount that is reduced when a certain payment - such as salary, rent, commission, interest, and more is made. The individual that makes the payment deducts TDS, while the individual that receives a payment or income as the liability to pay the tax. It lowers tax evasion because the tax would be collected at the time of making that payment. 

You can calculate how much you TDS or the interest on your TDS through the TDS or TDS interest calculator. This TDS deduction calculator will help you estimate your TDS deduction.

What is the TDS Calculator?

The TDS calculator is a free and online tool that would help you to know whether you have to deduct TDS or not, and if you have to, then it would show you the TDS amount to be deducted. It will enable you to check whether you had the right amount of TDS deducted, or it will provide you with a basic insight into the related TDS rules.

Utilizing the TDS online calculator is simple, and it can be used at any preferred time and as many times as wished. 

How Does the Online TDS Calculator Help You?

The TDS calculator lets the user know how much TDS is deducted from their salary, and they would know their in-hand salary after the deduction. It will assist you in better financial planning and budgeting. The calculator does not ask you to sign up or log in, all you would have to do is - provide some basic information, and the calculator will show you the final results within seconds.

The calculator works on an algorithm that can give you results in seconds. It will also eliminate the need for long, tedious processes. The calculator can also play the part of eliminating all possible errors while doing a manual calculation.

How Can I Use the TDS Amount Calculator?

Using the TDS calculator is simple, and all you have to do is to enter the below-mentioned details:

Recipient: You will have to choose the type of recipient that you are. Suppose you are an individual, a sole proprietor, a HUF, or others.

Payment: You will have to enter your payment in this section.

Nature of Payment: The TDS will also depend on the nature of the payment, such as salary, FD, and more. You will need to enter that data on the calculator.

Now, the calculator will show you the results within seconds. The results would either be that TDS is deductible or not. If the answer is yes, then you will also be shown how much TDS is deductible.

How to Calculate TDS?

The calculation of TDS highly depends on the nature of the deduction. Mentioned below are the formula and the procedure for TDS calculation.

Formula:

Rate of Average Income Tax = Income Tax Payable (computed with slab rates) / Estimated income for the financial year.

Example:

Let us look at an example of how this formula works in the calculation of TDS for a better understanding.

If Mr Ramesh has received the salary of Rs. 1,00,000 in a year (these rates are time-sensitive and will change with financial years). 

According to Section 192, the TDS on your salary based on the current year's slab rates would be Rs. 1,42,500. After the addition of 4% education and higher education cess, his net payable tax becomes Rs. 1,48,200.

The average rate on TDS would be = Rs. 1,48,200/12,00,000*100  

= 12.35%

So, the TDS that is deducted from Mr Ramesh's salary each month would be 12.35% of 1 lakh, which is, 

= Rs. 12,350

Advantages of the TDS Calculator

The TDS calculator has its own sets of advantages, and they are mentioned here:

  • This calculator will help you to estimate the amount that you are liable to deduct on a particular transaction. 
  • It is simple to use and is a handy tool in order to calculate the amount of TDS.
  • It gives you the solution of the amount and the basic principle rule attached with that specific transaction.
  • It will assist you in checking the TDS deduction and if it is accurate.
  • You can easily check TDS with a few clicks.

 

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