The Union Budget 2024 has introduced several changes to the Tax Deducted at Source rates, Here are the key points in detail.
1
The TDS rate for individuals earning above ₹50 lakh annually has been increased from 10% to 15%.
2
A new TDS rate of 1% has been introduced on transactions involving cryptocurrency and other digital assets.
3
The TDS threshold for interest earned on bank deposits has been raised from ₹40,000 to ₹50,000 for senior citizens.
4
For payments made by e-commerce operators to e-commerce participants, the TDS rate remains at 1%.
5
The TDS rate on professional fees and technical services has been increased from 10% to 12%.
6
The TDS rate on dividend income has been maintained at 10% and for non-resident investors, the rate has been increased from 20% to 25%.
7
To support the start-up ecosystem, the TDS rate on payments made to start-ups has been reduced from 10% to 7.5%.