The relaxation period of reduced rates of TDS/TCS notified by the CBDT i.e., from 14.05.2020 to 31.03.2021 has come to an end, resulting in the restoration of full rates of TDS/TCS specified in the relevant sections. No further extension has been provided by the CBDT yet with regard to reduction in TDS/TCS rates. Accordingly, full rates of TDS/TCS shall be applicable w.e.f. 01.04.2021
Some of the commonly used rates has been given below for ready reference:
| Section | Nature of Income | Reduced Rates (14.05.2020 to 31.03.2021) | Rate of TDS w.e.f. 01.04.2021 |
| 194A | Interest other than interest on Securities | 7.50% | 10% |
| 194C | Payment to Contractors | – 0.75%: In case of Individual or HUF Deductee – 1.50%: In any other case | – 1%: In case of Individual or HUF Deductee – 2%: In any other case |
| 194H | Commission and Brokerage | 3.75% | 5% |
| 194-I | Rent | – 7.50%: in case of immovable property – 1.50%: in case of plant and machinery | – 10%: in case of immovable property – 2%: in case of plant and machinery |
| 194J | Royalty and Fees for Professional or Technical Services | – 1.50%: Fees for technical services and Royalty towards sale, distribution or exhibition of cinematographic films – 7.50%: In all other cases | – 2%: Fees for technical services and Royalty towards sale, distribution or exhibition of cinematographic films – 10%: In all other cases |
| 206C(1H) | Sale of goods in excess of Rs. 50 lakh | 0.075% | 0.10% |
