TDS Section Comparison Income tax Act 1961 Vs 2025
Sections 392 and 393 of the Income Tax Act 2025 (effective from April 1, 2026) bring together various Tax Deducted at Source (TDS) provisions into a new framework. Section 392 addresses TDS on salary and accumulated PF balances, while Section 393 serves as a comprehensive section for TDS on payments to residents such as interest, rent, commission, and professional fees, replacing more than 40 older sections.
Provided a summary of the comparison between the TDS Section of the Income Tax Act 1961 and that of 2025:
Old Section ( IT Act 1961) | New Section (IT Act 2025) | Nature of Payment |
192 | 392(1)(a) | Salary |
192A | 392(6) | Accumulated PF balance |
194D | 393(1) Sl.1(i) | Insurance commission (non-corporate) |
194D | 393(1) Sl.1(i) | Insurance commission (company) |
194H | 393(1) Sl.1(ii) | Commission or brokerage |
194-IB | 393(1) Sl.2(i) | Rent by individual/HUF (not liable to audit) |
194-I | 393(1) Sl.2(ii)(a) | Rent (plant & machinery) |
194-I | 393(1) Sl.2(ii)(b) | Rent (land, building, furniture, fittings) |
194-IA | 393(1) Sl.3(i) | Transfer of immovable property (not agricultural land) |
194-IC | 393(1) Sl.3(ii) | Monetary consideration under JDA |
194LA | 393(1) Sl.3(iii) | Compensation on acquisition of immovable property |
194K | 393(1) Sl.4(i) | Income in respect of units |
194LBA | 393(1) Sl.4(ii) | Distribution by business trust (interest/rent, etc.) |
194LBB | 393(1) Sl.4(iii) | Income from investment fund (non-exempt) |
194LBC | 393(1) Sl.4(iv) | Income from securitization trust |
193 | 393(1) Sl.5(i) | Interest on securities |
194A | 393(1) Sl.5(ii) | Interest (Bank/Post Office) - Senior citizen |
194A | 393(1) Sl.5(ii) | Interest (Bank/Post Office) - Others |
194A | 393(1) Sl.5(iii) | Interest (other than Bank/Post Office) |
194C | 393(1) Sl.6(i) | Contractor/sub-contractor (individual/HUF) |
194C | 393(1) Sl.6(i) | Contractor/sub-contractor (others) |
194M | 393(1) Sl.6(ii) | Specified payments by individual/HUF (not liable Under 194C/H/J) |
194J | 393(1) Sl.6(iii) | Professional Services/Technical services/specified royalty |
194J | 393(1) Sl.6(iii) | Other professional fees/royalty |
194J | 393(1) Sl.6(iii) | Director fees/remuneration |
194 | 393(1) Sl.7 | Dividend |
194DA | 393(1) Sl.8(i) | Life insurance payout (taxable component) |
194Q | 393(1) Sl.8(ii) | Purchase of goods |
194P | 393(1) Sl.8(iii) | Resident senior citizen (≥75 yrs, specified bank) |
194R | 393(1) Sl.8(iv) | Benefit/perquisite from business/profession |
194-O | 393(1) Sl.8(v) | E-commerce payments to resident participant |
194S | 393(1) Sl.8(vi) | Transfer of virtual digital asset |
194B | 393(10) Sl.1 | Lottery, puzzle, card game, betting winnings |
194BA | 393(10) Sl.2 | Winnings from online games |
194BB | 393(10) Sl.3 | Winnings from horse races |
194G | 393(10) Sl.4 | Lottery ticket commission |
194N | 393(10) Sl.5 | Cash withdrawal (normal case) |
194N | 393(10) Sl.5 | Cash withdrawal (non-filers, 3 preceding FYs) |
194EE | 393(10) Sl.6 | NSS/annuity deposits |
194T | 393(10) Sl.7 | Remuneration/salary/interest to partner of firm |
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