TDS 194J (Professional Fees) Calculator

When this applies

• You are paying a consultant, lawyer, architect or doctor and need the deduction.
• You are checking a 194J deduction on a statement.
• You are paying technical or royalty fees and need the net payable.
• You are preparing a payment run for professional services.

10% TDS on a professional fee of INR 1,00,000

1. 1Professional fee: INR 1,00,000. Rate: 10%.
2. 2TDS = 1,00,000 x 10 / 100 = INR 10,000.
3. 3Net payable = 1,00,000 - 10,000 = INR 90,000.

Deduct INR 10,000 and pay the professional INR 90,000.

What this calculator does

Work out TDS on professional and technical fees under section 194J, and the net amount payable. The rate is commonly 10%, with a lower rate for certain technical services, so it is an input.

How this is calculated

Section 194J applies to fees for professional services, technical services, royalty and certain other payments. The deduction is the fee multiplied by the rate: TDS = amount x rate / 100. Professional fees are commonly at 10%, while a lower rate applies to certain technical services, which is why the rate is an input. The deduction applies once the payment crosses the section's threshold.

The formula

TDS = amount × rate/100

Common mistakes to avoid

• Treating professional fees as a work contract

  A consultant is usually under 194J, not 194C. Using the contractor rate is the wrong section.

• Using 10% for every technical service

  A lower rate applies to certain technical services. Applying 10% there over-deducts.

• Deducting below the threshold

  194J applies only once the year's payments cross the threshold.

Frequently asked

What is the 194J rate?

Commonly 10% for professional services, with a lower rate for certain technical services. Enter the rate that matches the service being paid for.

When does 194J apply?

Once the payment for the year crosses the section's threshold. Below it, no deduction is required.

How is a professional fee different from a contractor payment?

Professional services under 194J (a doctor, lawyer, architect, consultant) are distinct from work contracts under 194C, and the rates differ. Classify the payment correctly before deducting.

Does it apply to a director's sitting fees?

Certain payments to directors fall within 194J. Check the specific provision for the payment you are making.

What if the professional has not given PAN?

A higher rate applies where PAN is not furnished. Enter that rate.