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TDS on invoice calculator
Freelancers and businesses billing Indian companies are usually paid after TDS. Enter your fee, the GST rate and the kind of payment to see what will reach your bank.
TDS is worked out on the fee, not the GST, and rounded to the rupee. Check the current rate and threshold for your payment.
TDS on your invoice
₹54,000.00
- Fee (taxable value)
- ₹50,000.00
- GST @ 18%
- ₹9,000.00
- Invoice total
- ₹59,000.00
- Less: TDS @ 10% (194J)
- −₹5,000.00
- Net amount you receive
- ₹54,000.00
How TDS on an invoice works
When a business pays you for professional services, contract work, commission or rent, it deducts tax at source (TDS) and pays it to the government on your behalf. You receive the rest and claim the TDS against your own income tax.
When your invoice shows GST separately, TDS is worked out on the fee alone, not on the GST (CBDT Circular 23/2017). On a ₹50,000 fee with 18% GST, 10% TDS is ₹5,000: you invoice ₹59,000 and receive ₹54,000.
The calculator rounds TDS to the nearest rupee, as TDS is deducted and deposited in whole rupees.
Common TDS rates
The rate depends on the kind of payment. The calculator lists the common ones; a lower rate can apply under a certificate, and a higher one when the payee has no PAN. Rates and thresholds change with the Finance Act, so check the current figure for your payment.
Show it on your invoice
Your invoice total does not change: TDS is the client’s deduction. Many businesses still add a “Less: TDS” line and the net receivable under the total so the client pays the right amount. Invoice Native adds both when you choose the TDS type.
Last updated 2026-09-30. This calculator is a guide, not tax advice.
Frequently asked questions
Is TDS deducted on the GST amount?
Not when GST is shown separately on the invoice: TDS is on the amount excluding GST (CBDT Circular 23/2017). If GST is not shown separately, TDS applies to the whole amount.
How do I get the TDS back?
The deducted tax appears in your Form 26AS / Annual Information Statement against your PAN. You claim it as a credit when you file your income tax return, and any excess over your tax is refunded.
What if the client deducts TDS at the wrong rate?
Ask them to correct it in their TDS return. The credit you can claim is what they deposited and reported against your PAN.