06 July 2012
If an employee works on contract basis for a certain period say two years in a Company and his remuneration is paid by way of monthly salary, whether TDS from his income should be deducted u/s 192 or 194J of the Income Tax Act? If he has worked for four months in a Parent Company and five months in one of its Sister Company, Whether his Salary and TDS paid/deducted by the Parent Company be also considered by the Sister Company while calculating his TDS for the same financial Year?
06 July 2012
WTD/MD in PSUs are engaged on contract basis normallty for 2/5 years. Their TDS are deducted u/s 192.
Moreover , in the case cited by me in my query, the said person was engaged on a pay- scale with P.F.,LTC,Gratuity benefits.Thefore, there was a clear cut employer-employee relationship, though he was working on contract basis.
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