Tds on salary

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

15 November 2012 I have just started a small LLP firm with me and my wife as partners. We have also hired 1 employee for the time being. My wife would also be drawing a salary from the firm.

Please advice whether we have to deduct TDS on the salary paid to an employee and a partner.

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
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15 November 2012 Only Employee Salary will attract section 192, If employee drawing salary exceeding the taxable limit then you need to deduct TDS

Partner salary will not cover under 192. since there is no employee- employer relationship for treating that income as Salary income. so TDS will not apply on partner salary