Hi
Three slab rates at 5%, 20%, 30% and they are used for finding tds rates. While edu cess is 4%
Eg. 5×4/100+5 and use the same formula for 20 and 30%
This gives new slab rates 5.2%, 20.8%, 31.2%
Why like that? Its used for calculating TDS on bonus and gratuity perhaps. If bonus is 100 and tds is 100x5.2%
What is the tds section for gratuity?
Txs
CAclubindia
