INCOME TAX ACT 2025 — EFFECTIVE 1 APR 2026

Calculate TDS correctly
before money moves.
Wrong section caught automatically.

RegInfra sits inside your payment flow — validates section against payment type, calculates the correct rate, and stores the complete reasoning permanently. Wrong section returns a 400 before money moves. No silent wrong deductions.

POST /v1/tds/194C/compute
// Every decision stored. Forever.
{
  "tds_rate": "0.02",
  "tds_amount": "2000.00",
  "decision_chain": {
    "why_2_not_1": "Entity is Company → 2%",
    "threshold_at_payment": "YTD ₹85K > ₹30K ✓",
    "pan_on_date": "Available",
    "act_reference": "393 T1 S.No.(6)(i)",
    "rule_proof": "rg_a3f8c2d1"
  }
}

When IT department asks "why did you apply 2% on this vendor payment from 8 months ago" — what does your team show them?

Most teams cannot answer this. That is what Section 201 notices exploit.
❌ What your ERP shows

A record

Vendor: ABC Ltd
Section: 194C
Rate: 2%
TDS: ₹2,000

This proves the deduction happened. It does not explain why 2% and not 1%, whether the threshold had actually crossed, or what PAN status was on that exact date.

✅ What RegInfra stores

A decision chain

Why 2%: Entity type is Company
Threshold: YTD ₹85,000 crossed ₹30,000
PAN on date: Available
Rule version: rg_a3f8c2d1

Every decision behind the rate. Stored at calculation time. Immutable. Pull any transaction, any date — the answer is already there.

The Gap in Detail

What your ERP stores.
What RegInfra stores.

When IT department sends a Section 201 notice — this is the exact difference.

Data Point SAP / Oracle / Tally RegInfra
TDS amount deducted ✓ Stored ✓ Stored
Section applied (e.g. 194C) ✓ Stored ✓ With ITA 2025 reference
Rate applied (e.g. 2%) ✓ Stored ✓ Stored
Vendor PAN and payment date ✓ Stored ✓ Stored
What IT department actually asks ↓
Why this section over another?
Selection logic — why 194C and not 194J
✗ Not stored
Configured in vendor master — no logic trail
✓ Stored
Selection logic, criteria matched, alternatives evaluated
Why 2% and not 1%?
Deductee type, entity classification rationale
✗ Not stored
Applied from tax code — not validated at payment time
✓ Stored
Deductee type and entity classification stored per transaction
YTD at exact payment time?
Cumulative amount snapshot at that moment
✗ Not stored
Only current balance queryable — not historical snapshot
✓ Stored
Snapshot stored at moment of calculation — not reconstructed
PAN status at payment date?
Was PAN operative/available on that exact date
✗ Not stored
ERP reads current PAN — not historical status
✓ Stored
Recorded as-of calculation time — not current master data
Rule version at calculation time?
Which Finance Act rates were active then
✗ Not stored
Cannot prove which rates were active at that time
✓ Stored
Cryptographic fingerprint — proof of which rates were active
Reconstruction starts. Manually. Under notice deadline. Answer already stored. Pull any transaction. Decision chain is there.

How It Works

One API call per payment.
Complete decision record stored.

1

Call RegInfra at payment time

Your system calls RegInfra when making a vendor payment. Pass the payment details — amount, vendor PAN, deductee type, section.

POST /v1/tds/194C/compute
2

Get correct TDS with full reasoning

RegInfra returns the correct TDS amount with the complete decision chain — why that section, why that rate, threshold state at payment time, PAN status on that exact date.

3

Decision stored permanently

Every decision is stored against the transaction. Query any payment by vendor, date, or section. When IT department sends a notice — the response is already built.

GET /v1/transactions?vendor_pan=ABCDE1234F
4

Income Tax Act 2025 — from day one

Every response includes the correct 393-series section reference. Not retrofitted — built for the new Act from the start. Effective April 1 2026.

Why RegInfra

Three things nobody else does.

Every TDS tool calculates a rate. These are the three things that separate RegInfra from all of them.

Capability Any ERP / TDS Tool RegInfra Why it matters
Point 01 — Decision at payment time, not vendor setup time
When is TDS rate decided? Once at vendor onboarding Fresh at every payment Vendor classified as 194C last year may need 194J today
206AB status check At onboarding only Per payment, real-time Status changes after July 31 — never rechecked by ERPs
Threshold tracked across payments Partially Auto, per vendor per FY No manual YTD tracking required
Point 02 — Contemporaneous proof, not reconstruction
Section selection reasoning stored ✗ No ✓ Yes Why 194C and not 194J — stored at moment of decision
PAN status as-of payment date ✗ No ✓ Yes Historical record — not today's PAN status
Rule version fingerprint ✗ No ✓ Yes Cryptographic proof of which Finance Act rates were active
Point 03 — Embedded API, not a portal you log into
Integration model Human logs into portal API call in your payout flow No separate workflow — automatic at payment time
Human action required per payment ✗ Yes ✓ No Works at 100 or 100,000 payments — zero extra headcount
Implementation time Weeks to months 1 day — API key to first call Free trial — 500 calls, no credit card
Point 04 — Section mismatch detection — catches wrong classification before money moves
Wrong section detection ✗ No ✓ Yes — 400 error Sending interest payment under 194C returns an error — not a silently wrong rate
194C vs 194J confusion caught ✗ No ✓ Yes Most common TDS error. 1% vs 10%. ₹80,000 difference per ₹10,00,000 payment.
Suggested correct section in error ✗ No ✓ Yes Error tells developer exactly which section to use — not just that something is wrong

Right fit matters

✗ Not for you

Stable vendor list, enterprise ERP

50–100 vendors set up once in NetSuite. Dedicated tax team. CA firm on retainer. NetSuite is the right tool — RegInfra adds no value here. We mean this.

✗ Not for you

Manual process, no API integration

If your team isn't comfortable integrating an API into a payment flow, RegInfra is not the right fit today. We are developer infrastructure, not a portal.

✓ Built for you

Gig platform — 1,000+ contractors monthly

New contractors onboarded constantly. Payment nature varies per contractor. Engineering team maintaining deduction logic in codebase. Classification errors caught only when contractors call.

✓ Built for you

Fintech or payroll tool embedding TDS

TDS accuracy is product quality for you. Wrong deduction in your platform is your reputation problem. You need TDS logic as an API — so every IT Act change is RegInfra's problem, not yours.

SECTIONS COVERED: 194A Interest 194B Lottery 194BB Horse Race 194C Contractors 194H Commission 194J Professional

Free Trial

Start free. 500 API calls.
No credit card required.

Full access to all 6 TDS sections for 30 days. We provision your API key within 24 hours.

🔑

500 Free API Calls

30-day trial. All sections. Full reasoning trail included.

📋

Complete Audit Trail

Every decision stored permanently from your first call.

Key Within 24 Hours

We review manually. You get a response same business day.

We review every request manually and respond within 24 hours on business days.

Trial Request Received

We'll review your details and send your API key to your work email within 24 hours.

In the meantime, read the API documentation to prepare for integration.

Get Started

Ready to see it on your actual payment data?

Start with a free trial or book a 20-minute demo using a real payment scenario from your business. No slides. Just the product.

Get Free Trial → Email Us for a Demo →
Or write to us at contact@reginfra.com — we respond within 24 hours.