Calculation of TDS on Salary

This query is : Resolved

Devendra (Querist)
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15 February 2011 Mr. X has a liability if Rs. 6000. Whether the co will deduct TDS in the following manner:-

6000/12 = Rs.500 per month. (ie TDS Rs. 500 p.m will be deducted)

Whether it is correct or is there some other way?

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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16 February 2011
Some times it doesn't happen like that.
If deduction on monthly basis has not been made, then also the company can deduct , TDS during the previous year. If Tax upto Feb is deposited during the previous year. The company can deposit the last month's TDS till 07/04/xx.

caferoz

caferoz (Expert)
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16 February 2011 Devendra assuming you have stated above the net tax liability after exemption and deductions..then you are absolutely right.

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CS ,CMA Shambhu Kr. jha

CS ,CMA Shambhu Kr. jha (Expert)
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26 February 2011 TDS on salary is deducted on the basis of net taxable Income , on that ground your assumption is correct but you have assumed that particular Employee will draw that particular amount of salary thorough the year but how you will adjusted if that employee's salary will decrease or he will ex-paled from the job .
So it will be better if you will take current months salary as base to calculated net total income .

Thanks