Taxation
TDS
pronounced: [T-D-S]
Tax Deducted at Source is the mechanism where the payer deducts a percentage of tax before making payments such as salary, rent, interest, or professional fees, with the deducted amount remitted to the government.
Example
A ₹5 lakh personal loan at 10% p.a. for 3 years has an EMI of ₹16,607/month. Total payment = ₹5,97,852, of which ₹97,852 is interest.
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Last updated: 21 May 2026