TDS Rate Chart for FY 2022-23: NRI TDS Rates

TDS stands for Tax Deducted at Source. Find the table of revised TDS Rates for Residents as well as Non-Resident Indians (NRIs) in India post the Union Budget of 2022 in this article. 

TDS is either deducted at source by the companies through which you invest your money in India, while the returns are received calculated on stipulated TDS Rates, or by institutions providing salaries to you or directly by people paying the income to you and it needs to be deposited within a stipulated time to the government.

TDS Rate Chart for FY 2022-23: NRI TDS Rates
TDS Rate Chart for FY 2022-23: NRI TDS Rates

COVID-19 and TDS Rates

After the government of India provided relief to the Resident Indians concerning the TDS Rates for the period 14.05.2020 to 31.03.2021 as a result of the pandemic and the associated lockdowns affecting all the sectors of the country’s economy. The relief, however is limited to the TDS Rates only. 

Note: The benefits have been provided only to the Resident Indians, NRIs can’t claim the benefits under this TDS Rates relief package of the government.

TDS Rates for NRIs for the FY 2022 

SectionTransaction TypeThreshold LimitTDS for NRIs
192SalariesBasic exemption limit of employeeNormal NRI Slab Rate
192APremature withdrawal from EPFRs. 50,00010%
194BIncome from games like lottery winnings, card games, crossword puzzles, etc.Rs. 10,00030%
194BBIncome from horse race winningRs. 10,00030%
194EPayment to Non-Resident sports person/ associationNo limit20%
194EEPayment of amount standing to the credit of a person under National Savings Scheme (NSS)2,50010%
194FPayment for the purchase of mutual fund units or UTINo Limit20%
194GPayments, commission, etc., on the sale of lottery tickets15,0005%
194LBPayment of interest on infrastructure debt fund to NRINo Limit5%
194LCPayment of interest for the loan borrowed in foreign currency against loan agreement or the issue of long-term bondsNo Limit5%
194LCPayment of interest for the loan borrowed in foreign currency against the issue of long-term bonds listed in IFSC
No Limit4%
194LDPayment of interest on bond (rupee-denominated) to FII or a QFINo Limit5%
194LBA(2)Interest income of a business trust from SPV distribution to its unitholdersNo Limit5%
194LBA(2)Dividend income of a business trust from SPVNo Limit10%
194LBA(3)Rental income payment of assets owned by the business trust to the unitholdersNo Limit30%
194LBBIncome paid to a unitholder for units of an investment fundNo Limit10%
194LBCIncome from investment in securitisation fund received to Non-Resident IndiansNo Limit10%
194NCash withdrawal in excess of a certain amountRs. 1 crore2%
194NCash withdrawal in case person has not filed ITR for last three years and the original ITR filing due date passed– Rs. 20 lakh to Rs. 1 Cr
– Rs. 1 Cr
– 2%

– 5%
195Income from investment made by NRIsNo Limit20%
195Long-term capital gain (LTCG) referred to in Section 115E No Limit10%
195Income by way of LTCG under section 112(1) (c) (iii)No Limit10%
195Income by way of LTCG U/S 112ANo Limit10%
195Income by way of STCG U/S 111ANo Limit15%
195Any other income by way of LTCGNo Limit20%
195Income from royalty payable by the Indian concern for for the copyright in a subject referred in the first proviso of section 115A No Limit10%
195Income from royalty payable by government or Indian concern to pursue an agreement on matters mentioned in the industrial policyNo Limit10%
195Income in the form of technical fees payable by government or Indian concern to pursue an agreement on matters related to industrial policyNo Limit10%
195Any other incomeNo Limit30%
196BIncome (including LTCG) from units of offshore fundsNo Limit10%
196CIncome (including LTCG) from foreign currency bonds/ GDR of an Indian companyNo Limit10%
196DIncome (excluding dividend and capital gain) from Foreign Institutional InvestorsNo Limit 20%
TDS Rates for NRIs for the FY 2022 

* TDS rate shall be increased by applicable surcharge and Health & Education Cess.

Note: In case of non-furnishing of PAN/Aadhaar by deductee, TDS will be charged at normal rate or 20% (5% in case of section 194-O), whichever is higher.

Also Watch: TCS on Outward Remittances for NRI (2020 Budget)

TDS Rates and NRI: The Inevitable Bond

NRIs and TDS Rates in India have a very unique bond. From income to investments, everything invites a certain percentage of tax and you can always find a tds chart assigned to NRIs almost everywhere. Tax for NRI on Indian Income and Investments is a very complex topic and to get to the crux of it, you need to dig deep. We, at SBNRI understand your struggle and provide simple solutions to these complex problems.

Taxation on NRI Bank Accounts

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TDS Rate Chart for NRI: FAQs

Is TDS applicable for NRI?

Yes, TDS is applicable for NRIs. The TDS Rates for NRI is different for different types of income and asset classes for investments in India. 

What is the TDS rate under section 195?

The TDS rate under Section 195 ( Income in respect of investment made by a NRI) is 20%. However, there are other particulars under this section with different rates of TDS. You can browse through all the TDS Rates on our blog

How can NRI deduct TDS on sale of property?

Deduct TDS as per the table below while buying property in India keeping in mind the associated conditions.tds rates while buying property

Can NRI claim TDS refund?

Yes, As an NRI, if your tax liability is less than the TDS deducted from your income, you can file an income tax return to claim a refund. Here’s a list of NRI Income tax slabs for your reference.
Income Tax Slab for NRI

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