Most TDS defaults start before invoice booking — at vendor onboarding. If PAN, service category, contract type, threshold and section mapping are wrong, every downstream return and certificate becomes harder.
| Field | Why it matters |
|---|---|
| Legal name and PAN | Needed for TDS return, rate validation and credit to vendor. |
| Nature of service/supply | Drives section mapping such as contractor, professional fee or commission. |
| Threshold tracker | TDS can apply only after section-specific conditions are met. |
| Contract/payment terms | Helps decide whether payment is contract, professional, rent, commission or other. |
| Lower/nil certificate, if any | Apply only if valid and correctly linked. |
Official TDS pages and section-specific pages should be used for rates, timing and thresholds. Avoid using vendor declarations as the only basis for TDS position.
This article is intentionally source-limited to official Income Tax Department / e-Filing material. Verify final filing positions with the latest Act, Rules, notifications, circulars and portal utilities before publishing.
Yes. PAN and legal name should be collected and validated at onboarding.
Yes, if the vendor provides different types of services/supplies. Map invoice nature, not just vendor name.
TDS timing can be at credit or payment depending on the section. Review at invoice booking too.