Question

What is the rate of TDS applicable on interest on securities under Section 193 of Income Tax Act 1961 for Assessment Year 2018-19 ?
1. 5%
2. 10%
3. 20%
4. 15%

Answer 1

Correct Answer - Option 2 : 10%

The correct answer is 10%

• TDS: TDS stands for Tax Deducted as Source. It is the amount of income tax deducted from the money paid at the time of making certain payments, such as rent, commission, professional fees, salary, interest, etc.
• Under Section 193 of Income Tax Act 1961, TDS levied on Interest on securities for Assessment Year 2018-19 is 10% of the amount of interest.