TDS is deducted from the following payment methods:
2. Interest payments from banks
3. Commission payments
4. Rental payments
6. professional fees
However, it is not applicable to all persons and their income. The Income Tax Law clearly sets different rates for different payments and categories of recipients. For example, you do not have to deduct withholding tax if you pay your lawyer's fee or the rent. The concept of withholding tax implies that any person making a certain type of payment to another person deducts the tax at the prescribed rate and deposits it on the government's account.