TDS on Professional Fees: Section 194J
What is Section 194J?#
TDS on fees to professionals.
When Applicable?#
- Payment to professionals
- Technical services
- Royalty
- Non-compete fees
TDS Rates#
- 10% if PAN provided
- 20% if PAN not provided
- 2% for call centre operators
Threshold#
- ₹30,000 per payment
- Aggregate ₹1 lakh in FY
Exceptions#
- Individual/HUF paying below threshold
- Business expenses below limit
Conclusion#
Professional fees attract TDS.