New TDS Limit: The Finance Minister has made several changes in the TDS limit, which will benefit insurance agents, people investing in the stock market, those running brokerage firms and those providing technical services.
New TDS Limit: In the General Budget 2025, the Modi government has made several changes on the TDS front, which is very important to understand closely. The government has increased the income limit earned from rented property from two and a half to six lakhs annually, but it is worth noting that a monthly limit of Rs 50,000 has also been imposed in it. On the other hand, the Finance Minister has also made other changes in the TDS limit, which will benefit insurance agents, people investing in the stock market, those running brokerage firms and those providing technical services.
No TDS on rent income of Rs 6 lakh annually
CA Vineet Rathi says that people are making some mistakes in understanding the system made for deducting TDS on income earned from rent. People think that if they get six lakh rupees annually as rent income, then TDS will not be deducted on it. In a way, this is correct, but if there is a payment of more than 50 thousand rupees in a month, then TDS will have to be deducted on it. In such a situation, people will say that if 50 thousand rupees are received per month, then only this amount will be six lakh rupees in a year.
This needs to be understood technically. Actually, some properties are not taken for a year. Now if you rent out any of your properties for eight to 10 months and the rent is fixed at six lakh rupees.
If the rent of six lakhs fixed for 10 months is divided into 10 installments, then the property owner will get a rent of 60 thousand every month. In such a situation, TDS will be deducted if the monthly rent is above 50 thousand. Therefore, it will be necessary to keep in mind the monthly limit while paying the rent.
Other decisions taken in terms of TDS
- TDS limit on interest on securities increased to Rs 10,000
- TDS exemption on dividend increased from Rs 5,000 to Rs 10,000
- TDS limit on amount more than Rs 5,000 from mutual fund and company share increased to Rs 10,000
- TDS limit on commission for insurance agents increased from Rs 15,000 to Rs 20,000.
- Commission limit on brokerage increased from Rs 15,000 to Rs 20,000.
- Limit on amount received from technical service increased from Rs 30,000 to Rs 50,000.
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