Filing your Income Tax Return (ITR) is a crucial financial responsibility for every taxpayer. However, even a minor mistake can lead to penalties, delayed refunds, or unnecessary scrutiny from the Income Tax Department. Here are some common mistakes to avoid while filing your ITR:
| Section | Nature of Transaction | From 1st April, 2025 Threshold Limits | TDS Rate |
| 192 | Payment of salary | Basic exemption limit of employee | Normal Slab Rates |
| 192A | Premature withdrawal from EPF | Rs. 50,000/- | With PAN: 10% Without PAN: 20% |
| 193 | Interest on securities | Debentures- Rs. 5,000/- OR 8% Savings (Taxable) Bonds 2003 or 7.75% Savings (Taxable) Bonds 2018- Rs. 10,000/- OR Other securities Rs. 10000/- | 10% |
| 194 | Payment of any dividend | Rs. 10,000/- | 10% |
| 194A | Interest other than interest from securities (from deposits with banks/post office/co-operative society) | When payer is bank, cooperative society and post office: (i) Rs. 1 lakh for senior citizen (ii) Rs. 50,000/- in case of others In case the payer is others: (iii) Rs. 10,000/- | 10% |
| 194B | Income from lottery winnings, card games, crossword puzzles etc. | Rs. 10,000/- in respect of a single transaction | 30% |
| 194BA | Income from online games | No limit | 30% |
| 194BB | Income from horse race winnings | Rs. 10,000/- (Aggregate winnings during a financial year not single transaction) | 30% |
| 194C | Payment to contractor/sub-contractor:- | Single transaction- Rs. 30,000/- Total transactions during FY- Rs. 1 lakh | a) Individuals/ HUF 1% b) Other than Individuals/ HUF 2% |
| 194D | Insurance Commission | Rs. 20,000/- | 2% |
| 194DA | Insurance pay-out in respect of a life insurance policy | Rs. 1 lakh | 2% |
| 194E | Payment to non-resident sportsman (including an athlete) or an entertainer (not a citizen of India) or non-resident sports association. | – | 20% |
| 194EE | Payment of amount standing to the credit of a person under National Savings Scheme (NSS) | Rs. 2,500/- | 10% |
| 194F | Payment for the repurchase of the unit by Unit Trust of India (UTI) or a Mutual Fund | No limit | 20% |
| 194G | Payments, commission, etc., on the sale of lottery tickets | Rs. 20,000/- | 2% |
| 194H | Commission or brokerage | Rs. 20,000/- | 2% |
| 194-I | Rent: | Rs. 50,000/- per month or part of the month | 194-I(a) Rent on plant and machinery 2% 194-I(b) Rent on land/ building/ furniture/ fitting 10% |
| 194-IA | Payment in consideration of transfer of certain immovable property other than agricultural land. | Rs. 50 lakhs | 1% |
| 194-IB | Rent payment by an individual or HUF not covered u/s. 194-I | Rs. 50,000/- per month | 2% |
| 194-IC | Payment under Joint Development Agreements (JDA) to Individual/HUF | No limit | 10% |
| 194J | Any sum paid by way of fee for professional services Any sum paid by way of remuneration/fee/commission to a director Any sum paid for not carrying out any activity concerning any business; Any sum paid for not sharing any know-how, patent, copyright, etc. | Rs. 30,000/- | 10% |
| 194J | Any sum paid as a fee for technical services Any sum paid by way of royalty towards the sale or distribution, or exhibition of cinematographic films Any sum paid as fees for technical services, but the payee is engaged in the business of operation of the call center. | Rs. 30,000/- | 2% |
| 194K | Payment of any income for units of a mutual fund, for example, dividend | Rs. 10,000/- | 10% |
| 194LA | Payment in respect of compensation on acquiring certain immovable property | Rs. 5 lakhs | 10% |
| 194LB | Payment of interest on infrastructure debt fund. | 5% | |
| 194LBA(1) | Certain income distributed by a business trust to its unitholder | No limit | 10% |
| 194LBA(2) | Interest income of a business trust from SPV distribution to its unitholders | No limit | 5% |
| 194LBA(2) | Dividend income of a business trust from SPV, in which it holds the entire share capital exempt the capital held by the government, and distribution to its unitholders. | No limit | 10% |
| 194LBA(3) | Rental income payment of assets owned by the business trust to the unitholders of such business trust | No limit | 30% |
| 194LBA(3) | Rental income payment of assets owned by the business trust to the unitholders of such business trust | No limit | 40% |
| 194LBB | Certain income paid to a unitholder in respect of units of an investment fund | No limit | 10% |
| 194LBC | Income from investment in securitisation fund received by a resident | No limit | 10% |
| 194LC | Payment in the nature of interest for the loan borrowed in foreign currency by an Indian company or business trust against loan agreement or against the issue of long-term bonds*. If interest is payable against long term bonds listed in recognized stock exchange in IFSC | 5% 4% | |
| 194LD | Payment of interest on the bond (rupee-denominated) to Foreign Institutional Investors or a Qualified Foreign Investor. | 5% | |
| 194M | Certain payments by Individual/HUF not liable to deduct TDS under Section 194C, 194H, and 194J | Rs. 50 lakhs | 2% |
| 194N | Cash withdrawal exceeding a certain amount | Co-operative society: Rs. 3 Crore Others: Rs. 1 crore | 2% |
| 194N | Cash withdrawal in case person not filing ITR for last three years and the original ITR filing due date expired | Rs. 20 lakh to Rs. 1 crore > Rs. 1 crore | 2% 5% |
| 194O | Payment for the sale of goods or provision of services by the e-commerce operator through its digital or electronic facility or platform. | Rs. 5 lakhs | 0.1% |
| 194P | Payment of pension or interest to specified senior citizens of age 75 years or more | Basic exemption limit of senior citizens or super senior citizens | Normal tax slab rates |
| 194Q | Payments for the purchase of goods | Rs. 50 lakhs | 0.1% |
| 194R | Perquisite or benefit to a business or profession | Rs. 20,000/- | 10% |
| 194S | TDS on the transfer of Virtual Digital Assets Specified persons: Individual or a HUF not having income from business or profession OR | Rs. 10,000/- Rs. 50,000/- | 1% |
| 194T | Partner’s Remuneration | Rs. 20,000/- | 10% |
| 195 | Payment of any other sum to NRI : Income on investments made by NRI citizen; | 20% | |
| 195 | Income by way of LTCG referred to in section 115E in the case of NRI; | 13% | |
| 195 | Income by way of LTCG under section 112(1)(c)(iii); | 13% | |
| 195 | Income by way of LTCG under section 112A; | 13% | |
| 195 | Income by way of STCG under section 111A; | 20% | |
| 195 | Any other income by way of LTCG; | 13% | |
| 195 | Interest payable on money borrowed by the government or Indian concern in foreign currency; | 20% | |
| 195 | Income from royalty payable to the Indian concern by government or Indian concern in pursuance of an agreement on matters related to industrial policy; | 20% | |
| 195 | Income from royalty payable to the Indian concern, by government or Indian concern, for the copyright in a subject referred in the first proviso of section 115A or computer software referred to in the second proviso of section 115A | 20% | |
| 195 | Income from technical fees to the Indian concern by government or Indian concern in pursuance of an agreement on matters related to industrial policy; | 20% | |
| 195 | Any other income. | 30% | |
| 196B | Income from units of an offshore fund. Long-term Capital Gain on transfer of units an offshore fund. | 10% 12.5% | |
| 196C | Income (including LTCG) from foreign currency bonds or GDR of an Indian company | 13% | |
| 196D | Income (excluding dividend and capital gain) from Foreign Institutional Investors. | 20% |
