The standard TDS rate is 10%, but a lower rate of 2% applies to fees for technical services (excluding professional services) and royalty for cinematographic films, as well as payments to call centres. Section 194J of income tax act TDS rate for fees professional/ technical services is 2% and royalty is 10%. The limit of payment is Rs 30000 TDS u/s 194J needs to be deducted by a deductor other than an individual or a HUF (not liable to tax audit) @ 10% on any amount paid or payable to any person which is in excess of Rs. 30,000 as: Any sum referred to in clause (VA) of section 28. Section 194J refers to TDS provisions relating to specific services. It requires anybody who pays fees to a resident for such defined services such as professional or technical services to deduct TDS . An individual should deduct TDS at the rate of 10% when the following payments are made to a resident, in a fiscal year (higher than Rs.30,000):
