03 April 2015
Salaried Employees are not liable to pay advance Tax on their income from Salary since TDS (Which is also a form of Advance Tax) is deducted from them u/s 192.
03 April 2015
Yes. Advance tax liability applicable for Salaried employee also. how ever for arriving advance tax liability you can consider the TDS deducted from employer also before payment of tax
03 April 2015
Sanjay ji. Since the advance tax provision applicable to all the cases. not given exemption for any one. sec.208 applies for the tax exceeds Rs.10000. so my view is differ
Advance Tax is applicable for Income Other Than Salary.
Please note that in case of salaried employees, the advance tax liability is to be computed on the income other than salary income. TDS deducted by the employer is not to be adjusted against this liability.
[Conditions of liability to pay advance tax. 208. Advance tax shall be payable during a financial year in every case where the amount of such tax payable by the assessee during that year, as computed in accordance with the provisions of this Chapter, is 97[ten thousand] rupees or more.]
But practically as you told since the TDS deducted from salary, advance tax question may not raise for salaried case
03 April 2015
Thank you Ramesh Ji. It always knowledgeable discussing with you.
Seen the section. No specific exemption is there under 208. But you would agree conceptually no advance tax to be paid by Salaried Employees on Salary Income. It is the liability of employer to deduct TDS u/s 192.
Ref: Uttarakhand High Court decision in the case if DIT V. Maersk Co Ltd (2011) 198 Taxman 518
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