Introduction
The Income Tax Department has introduced a new way to pay TDS online. This blog explains the changes, current due dates for March 2026, quarterly return filing, and how to pay pending dues for FY 2025 26 as well as new payments for Tax Year 2026 27. It also covers new tax rates, applicability, and major rate changes — all in simple words.
Tax Deducted at Source (TDS) is a regular part of tax compliance for businesses and individuals. The Income Tax Department has updated the online payment system — now taxpayers must select the correct Tax Year while making payments. This guide explains the new process, due dates, and other updates in simple steps.
Key Highlights
1. New Website and Payment Process
The TDS portal now shows Tax Year instead of Financial Year.
For FY 2025 26 dues, select Compliance under Income tax Act, 1961 after login.
For current dues (Tax Year 2026 27), use the e Pay Tax section directly.
2. March 2026 TDS Payment Due Dates
TDS deducted in March 2026 must be paid by 30 April 2026.
Quarterly returns for Jan–Mar 2026 must be filed by 31 May 2026.
Timely payment helps avoid penalties and interest.
3. How to Pay Pending FY 2025 26 Dues
Login to the portal → Select Compliance under Income tax Act, 1961 → Choose the right section → Proceed with payment.
This clears old dues before moving to the new system.
4. How to Pay Current Tax Year 2026 27 Dues
Use the e Pay Tax option → Select Tax Year 2026 27 → Choose the correct section (TDS/TCS, Fees, Miscellaneous) → Pay online and save the receipt.
5. New Tax Rate Chart
The department has released updated TDS rates for FY 2025 26 and Tax Year 2026 27.
You can download the chart from the official portal under “Rate Charts” in the Things to Know section. 📥 Download TDS 2026-27 Rate Chart (PDF) >
6. TDS New Applicability
Some new categories of payments are now covered under TDS — including digital transactions and certain professional services.
Always check the latest circulars before making payments.
7. TDS Major Rate Changes
A few sections have revised rates — especially for contractor payments and professional fees.
These changes apply from 1 April 2026 onwards under the new Tax Year system.
Questions & Answers
Q1: What is new in the TDS payment process?
A1: The portal now uses Tax Year instead of Financial Year. Old dues are paid through the compliance menu, while new payments are made directly under the e Pay Tax section.
Q2: What are the due dates for March 2026 TDS payment and return?
A2: TDS deducted in March 2026 must be paid by 30 April 2026, and the quarterly return for Jan–Mar 2026 must be filed by 31 May 2026. Paying on time avoids late fees.
Q3: How can I pay old TDS dues for FY 2025 26?
A3: Log in, go to Compliance under Income tax Act, 1961, and select the right section for payment. This option helps clear pending dues from the previous year.
Q4: How do I pay TDS for the current Tax Year 2026 27?
A4: Open e Pay Tax, choose Tax Year 2026 27, and select the correct category. Complete payment online and keep the receipt for your records.
Q5: Where can I find the new tax rate chart?
A5: The updated TDS rate chart is available for download on the official portal under “Rate Charts.” It lists all sections and rates for FY 2025 26 and Tax Year 2026 27.
Q6: What are the new TDS applicability rules?
A6: New rules now include digital payments and certain professional services under TDS. Always check the latest notifications to stay compliant.
Q7: What are the major TDS rate changes for 2026 27?
A7: Some sections, like contractor and professional payments, have revised rates effective from 1 April 2026. Review the updated chart before making deductions.
Conclusion
The new TDS payment process makes compliance easier but requires attention to the correct Tax Year and updated rates. By following these steps and checking the latest charts, taxpayers can stay compliant and avoid penalties.
