TDS 194C Transport Calculator
Last Updated: October 2026
Instant TDS calculation on freight bills for transport contractors, fleet owners, and freight brokers under Section 194C of the Income Tax Act.
Summary
Determine TDS liability on road freight invoices in India. Checks single bill threshold (₹30,000), annual limit (₹1,00,000), contractor type (1% or 2%), and the Section 194C(6) exemption for operators owning up to 10 trucks.
What is this?
An interactive TDS 194C tax deduction calculator for transport payments.
Who is it for?
Transporters, corporate logistics accounts, freight brokers, and CAs.
Why use it?
Avoid 20% penalty under Section 206AA or disallowances under Section 40(a)(ia).
Key takeaways
- 1% Individual / 2% Company rates
- Section 194C(6) 10-truck exemption check
- Single vs annual threshold validation
- Net payable to transporter output
- 100% free tool, no login
TDS 194C Rates & Threshold Rules Summary
| Transporter Category | PAN Condition | TDS Rate | Threshold Exemption |
|---|---|---|---|
| Small Fleet Owner (≤ 10 Trucks) | Valid PAN + Section 194C(6) declaration provided | 0.0% (NIL) | Exempt regardless of freight billing value |
| Individual / Sole Proprietor / HUF | Valid PAN furnished | 1.0% | Single bill ≤ ₹30,000 AND annual ≤ ₹1,00,000 |
| Company / Partnership Firm / LLP | Valid PAN furnished | 2.0% | Single bill ≤ ₹30,000 AND annual ≤ ₹1,00,000 |
| Any Transporter without PAN | No PAN / Inoperative PAN | 20.0% | Penal rate under Section 206AA; no exemption |
Frequently Asked Questions
What is the TDS rate under Section 194C for transporters? The statutory TDS rate under Section 194C is 1% for Individual/HUF transport contractors and 2% for Corporate entities (Pvt Ltd/Firms). If the transporter owns 10 or fewer trucks and submits a PAN declaration under Section 194C(6), TDS is 0%.
What are the threshold limits for TDS 194C? TDS under Section 194C is applicable if a single payment/invoice exceeds ₹30,000, or the aggregate payments made to the transport contractor exceed ₹1,00,000 in a financial year.
What happens if a transporter does not provide PAN? Under Section 206AA of the Income Tax Act, if the transport contractor fails to provide a valid PAN, TDS must be deducted at the penal rate of 20% regardless of truck count.