What is the due date for payment of TDS on Salaries (192B) ? is there any one month credit period. (i.e. TDS on salary for the month Apr can be paid in the month Jun till 7th ). please guide..
PRAVEEN KUMAR
(MBA (Finance) B.Com.(P))
(3443 Points)
Replied 31 October 2011
this theory is not correct dear. salary is due on last date of every month so payment due date is 7th of next month. though some professional have other view they say if we are paying salary on 7th then last date of payment of TDS is 7th of next month which is wrong practice in my view. because salary is due or you can say credited on last day of month.
:-)
Praveen
Manish
(Accountant)
(250 Points)
Replied 01 November 2011
Please refer Sec. 192 of the Income Tax Act :
192. (1) Any person responsible for paying any income chargeable under the head “Salaries” shall, at the time of payment, deduct income-tax [***] on the amount payable at the average rate of income-tax [***] computed on the basis of the [rates in force] for the financial year in which the payment is made, on the estimated income of the assessee under this head for that financial year.
It means, if Salary for the month of April paid (or credited in books) in the month of May, TDS of the same is to be deposited in the month of June (till 7th of June). We normally follow this rule while paying salary and deducting TDS to employee.
Dattaprasad
(Audit Officer)
(184 Points)
Replied 03 November 2011
for 192B the liability will arise only on payment basis instead of credited or paid
since the payment was made in the month of May then the due date is June 7th only
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