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TDS Section 194S Transfer of Virtual Digital Asset (crypto, NFT)

FY 2025-26 · Rate 1%

Section
194S
Rate (with PAN)
1%
Rate (no PAN)
20%

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.

Note: Threshold ₹50k for individuals/HUF not under audit, else ₹10k. VDA-to-VDA trades also covered (FMV basis).

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
Compute and file this TDS with CAhelperFree TDS computation, Form 26Q prep, challan generation — Part of KLI.

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.

crypto tdsbitcoin tdsvdavirtual digital assetnft salewazirxcoindcxcrypto exchangeethereum

Related TDS sections

Other sections in the same series or adjacent. Useful when narrowing down between similar payment categories.

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Source: curated from the CBDT TDS rate chart. Dataset snapshot: 2025-04-01. Rates can change between Finance Acts and notifications — verify before deducting.