Tds

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aarti (Querist)
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19 February 2014 i want to know if we are paying income tax then i have to pay tds also. what is difference between tds and income tax?

PRATIK AGRAWAL

PRATIK AGRAWAL (Expert)
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20 February 2014 Hi...
Technically you never pay TDS.. You just pay Income Tax.. TDS will be deducted from the amount you are receiving from your employer(If u r working)..

Look.. Mr. X has a Income of Rs. 10 Lacs (out of which he received Rs 8.5 Lacs after deducting 1.5 lacs as TDS) for a year and say Income tax on it comes to 2. Lacs..

Then Mr. X has to pay only the remaining amount which is 50,000.