Tds

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kumal jee mishra

kumal jee mishra (Querist)
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15 December 2013 if tds is deductable on salary but not deducted by employer then is it allowable as expenses?

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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15 December 2013 Yes, it is still allowable as deduction.
Read more at-

https://www.caclubindia.com/forum/default-in-deduction-of-tds-on-salaries-134632.asp#.Uq1vhNIW1A0

VAMSI ASSOCIATES/S.PHANI RAJ

VAMSI ASSOCIATES/S.PHANI RAJ (Expert)
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15 December 2013 QUESTION IS NOT UNDERSTANDING
TDS MEANS TAX DEDUCTED AT SOURCE
WHO PAY AN AMOUNT IN WAY OF SALARY HE HAS TO DEDUCT TAX AND RAMAINING BALANCE WILL BE GIVEN TO PERSON
FOR DEDUCTION PURPOSE HE CAN FILE E TDS RETURNS WITH THE PAN NUMBER OF DEDUCTED PERSON
THEN TDS GO TO THAT PAN ACCOUNT

TDS IS DEDUCTED FROM PAYMENT ONLY

HENCE IT IS NOT TREATED AS EXPENDITURE

IN YOUR WORDS IT WILL BE TREATED AS SELF ASST TAX AND IT WILL BE TRANSFERED TO CAPITAL ACCOUNT

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Nikhil Kaushik

Nikhil Kaushik (Expert)
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15 December 2013 Dear Kumal,

the disallowance section 40a(ia) doesn't cover salary expenses. hence no disallowance is attracted. However, assessee in default position may still get triggered.