# How much TDS comes off a creator's fee?

> Work out TDS on a payment to a creator under the Income-tax Act, 2025 (section 393; old 194J and 194C): rate, threshold, amount deducted and what the creator receives. Free.

Source: https://thommidhi.com/tools/tds-calculator · Updated 2026-10-15

## TDS on creator payments, free

When a brand pays a creator, it usually deducts TDS before paying. Which rate applies depends on how the payment is treated (as fees for professional services or as a contract), whether the year's payments have crossed the threshold, and whether the creator has given a PAN. From 1 April 2026 these rules sit in section 393 of the Income-tax Act, 2025; we show the old section numbers too, because most invoices and CAs still use them.

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## How it works

Pick how the payment is treated. A creator paid directly is usually treated as professional fees (old 194J); a contract for advertising, often with an agency, as a contract (old 194C). If you're unsure, ask your CA: we show both rather than choosing for you.

Type this payment before GST: TDS is worked out on the amount without GST when GST is shown separately on the invoice (CBDT Circular 23/2017).

Add what the same brand paid the creator earlier this financial year: thresholds count the year's total.

Without a PAN, TDS is at least 20%.

## Questions

What is the TDS rate on payments to influencers? Usually 10% when treated as fees for professional services (old section 194J), once a year's payments to the creator pass ₹50,000. If treated as a contract (old 194C), it's 1% for an individual or HUF and 2% for others, once one payment passes ₹30,000 or the year passes ₹1 lakh. Without a PAN it's at least 20%.

Is TDS deducted on the GST part of the invoice? No, if the GST is shown separately on the invoice: TDS is on the amount before GST (CBDT Circular 23/2017).

Is the TDS lost money for the creator? No. It's an advance on the creator's income tax, paid on their behalf: it appears against their PAN in Form 26AS and is credited when they file. Their final tax depends on their total income for the year, so it can be more or less than the TDS; any extra is refunded after filing, any shortfall is paid.

## Sources

Checked against the sources below on 15 October 2026. Tax rules change; for your own return, confirm with a CA or tax adviser.

Income-tax Act, 2025, s.393(1): fees for professional services (old s.194J), TDSMAN, July 2026: https://blog.tdsman.com/2026/07/tds-on-fees-for-professional-and-technical-services-section-3931-194j/

Income-tax Act, 2025, s.393(1): payments to contractors (old s.194C), Taxheal, April 2026: https://www.taxheal.com/tds-on-contractors-w-e-f-01-4-2026.html

RSM India, TDS rate chart (Finance Act 2025 thresholds): https://www.rsm.global/india/insights/tax-insights/tds-rate-chart

CBDT Circular 23/2017: TDS on the amount before GST (copy of the circular): https://itatonline.org/info/wp-content/uploads/2017/07/CBDT-Circular-23-TDS-GST.pdf

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