TDS Calculator

You raised an invoice of ₹1,00,000.

A few days later, ₹90,000 gets credited to your account.

The first question that comes to mind is usually:

“Where did the remaining ₹10,000 go?”

The answer is TDS – Tax Deducted at Source.

The same thing happens with salary, professional fees, interest income, rent and many other payments.

A part of the amount gets deducted before the payment reaches you. This is why many people want to know the actual amount they will receive after TDS.

This is where Definedge’s FREE TDS Calculator can help.

What is a TDS Calculator?

Definedge’s TDS Calculator is a simple online tool that helps you calculate the amount deducted as TDS and the amount you are likely to receive after the deduction.

It helps you find:

• TDS Amount
• Net Amount Receivable
• Gross Payment Amount

Whether you are making a payment or receiving one, the calculator helps you understand the numbers quickly.

What is TDS?

As the name suggests, the tax is deducted at the time a payment is made. Instead of paying the full amount, the payer deducts a certain percentage and deposits it with the government on your behalf.

This deducted amount can later be adjusted against your tax liability when you file your income tax return.

How does the TDS Calculator work?

Using the calculator is simple.

You need to enter:

• Payment Amount
• Select Section/Nature of Payment
• Select Financial Year
• Select Recipient Type
• Select PAN available

The calculator will instantly show:

• TDS Amount

This helps you understand exactly how much money will be deducted and how much you may receive.

Why use a TDS Calculator?

Most TDS calculations are simple.

But when dealing with multiple invoices, payments or different TDS rates, mistakes can happen.

A TDS Calculator helps you:

• Calculate deductions instantly
• Know the actual amount receivable
• Avoid manual calculations
• Save time
• Understand TDS better

It gives you clarity before making or receiving a payment.

Definedge’s TDS Calculator helps you quickly calculate the TDS amount and estimate the money you may actually receive after the deduction.

Just enter the amount and TDS rate, and get the answer instantly.

Frequently Asked Questions (FAQs)

1. Why is TDS deducted before I receive payment?
   TDS is a method through which tax is collected at the time of payment itself rather than at the end of the financial year.
2. Does TDS mean my money is paid to the government, and I can’t get it back?
   No. The deducted amount is deposited with the government on your behalf and can generally be claimed while filing your income tax return.
3. Why did I receive less money than my invoice amount?
   This usually happens because TDS has been deducted before the payment was made.