Non submission of documents

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

18 January 2014
An Employee do not produce to his EMPLOYER any document from begining of the FY i.e. APRIL,2013 but only produce a statment that I will save in TAX Saving Instruments like LIC,MEDICLAIM,HRA,TRANSPORT ALLOWANCE etc hence do not deduct any Income Tax from my Salary. Accordingly Employer does not deduct TDS from his/her salary in FY 13-14 till Mar,2014. The employee also do not produce any document to employer for deduction/exemptions from his salary. What is the responsibility of EMPLOYER not to deduct till Mar,2014 assuming that he/she must have saved. Also he/she do not demand TDS Certificate. Whether Employer will be penalised when scrutiny by IT Authorities,if no saving done. Without any TDS Certficate from Employer,if Employee files IT Return also log all savings of his own in the NSDL site and claim that his/her taxable income is below Rs 2.00 lakhs. In this case,there is NO responsibility of EMPLOYER under INCOME TAX ACT. Will Employer will be penalised,since no TDS certificate from EMPLOYER to EMPLOYEE

AVTAR SINGH

AVTAR SINGH (Expert)
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18 January 2014 It was duty of the employer to deduct TDS from salary u/s 192B. If he has not done it then he is liable for TDS + Interest + Penalty.

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Querist : Anonymous

Querist : Anonymous (Querist)

19 January 2014 Thanks for reply.

Will it be advisable to deduct TDS,when employee do not produce any document of savings to confirm his taxable income for the year.

How the Employer will be caught by the Income Tax Authorities whether he has deduct or not deduct from the salary of employees.

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AVTAR SINGH

AVTAR SINGH (Expert)
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19 January 2014 Yes, the employer must deduct tax if the evidence of investment eligible u/s 80C is not produced by the Employee.
The employer has to file TDS return with respect to all employees whose taxable salary exceed Rs.200,000 i.e. prior to deduction u/s 80C. From the TDS return the department can check whether you have deducted the TDS properly or not.

Querist : Anonymous

Querist : Anonymous (Querist)

01 April 2014 Under which section of the Income Tax, the Employer has to file RETURN on behalf of EMPLOYEE whose GROSS SALARY EXCEEDS RS 2,00,000/-PER YEAR.

IN CASE THE EMPLOYEE DO NOT SUBMIT INCOME TAX RETURN EVEN IF THEIR GROSS SALARY IS MORE THAT RS 200000/-

AVTAR SINGH

AVTAR SINGH (Expert)
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01 April 2014 The employer will not file income tax return of the employee. But the TDS return is required to be filed by employer giving detail of all employees whose gross salary exceeds Rs.200,000.