03 September 2009
What happens if employer by mistake give additional deduction under rent, home loan or interest paid for housing loan without any inputs from the employee. and releases Form-16. What kind of corrective measure employee should take?
21 September 2009
The employee may file his return by claiming the right deductions only and pay balance amount of tax if it's not met by the TDS.
The employer may later on be asked for low deduction of tax but, as the employee has already paid the taxes ther would be no significant liability of the employer. The department can only charge interest on the shortfall, which will be not significant at all, of intervening periods of tax depositions.
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