Tds on Contractors

This discussion clarifies the Tax Deducted at Source (TDS) rates applicable to contractors for the Assessment Year 2021-2022. It confirms that TDS rates were reduced by 25% from 14th May 2020 until 31st March 2021. The reduced rates are 0.75% for individuals/HUFs and 1.5% for others, with specific thresholds for single contracts exceeding £30,000 or total payments to one person exceeding £100,000 in a financial year triggering deduction liability.