TDS Section 194S — Transfer of Virtual Digital Asset (crypto, NFT)
FY 2025-26 · Rate 1%
What does this section cover?
TDS on consideration paid for transfer of VDA (crypto, NFT) to a resident transferor.
Why this section: 1% TDS on every crypto/NFT transfer above threshold — exchange deducts when facilitating peer-to-peer or fiat-to-crypto trades.
Key facts
- Threshold
- ₹10,000 per FY (₹50,000 for specified persons — individuals/HUF below audit threshold)
- Applicable for
- FY 2025-26
- Who deducts
- Any person buying VDA / exchange facilitating transfer
- Paid to
- Resident transferor of VDA
- Statutory source
- Section 194S, Income Tax Act
Common terms accountants use
If your description mentions any of these, Section 194S is likely the right answer. The matcher in this tool is a keyword scorer — not an AI classifier — so cross-check borderline cases against the official CBDT TDS rate chart.
Related TDS sections
Other sections in the same series or adjacent. Useful when narrowing down between similar payment categories.
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Describe the payment in plain English — “rent of plant”, “senior citizen interest”, “NRI dividend” — and the matcher will surface the right section.
Search TDS sections →Source: curated from the CBDT TDS rate chart. Dataset snapshot: 2025-04-01. Rates can change between Finance Acts and notifications — verify before deducting.