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Interest liability on tds on salary

887 views 5 replies

Dear all

Please let me know one thing that if during the fy 2013-14 we are assuming that we should not deduct tds because we will make the investment but in the month of Dec,13 we realise we can't do the same. 
 

In such case accountant will deduct the the entire tds till the period of Dec,13 in the same month. or

you can say the tds deducted on salary every month ,presume, was lower than that should have been deducted.

Then in both the supra cases, Is there any interest liability arises, specifically, in the case of salary?

Regards

Pradeep

 

Replies (5)

I think, there will be no liability for TDS. TDS on salary applies on average rate and hence TDS liability varies month to month.

 

HELLO,

IF THE TAX LIABILTY IS LESS THAN 10,000 THEN THERE IS NO LIABILITY OF INTEREST.

FOR FURTHER QUERY PLEASE ASKED

Dear Hemant

Can u refer me any case or have you seen or dealt with the same.

Then plz mention the same or provide me the link/reference.

Regards

Pradeep Kumar

TDS on salary is deducted on estimates. If now your estimate is changed, resulting more tax. Then the tax will be paid monthly in remaining period.

In your case, tax liability will be charged as TDS from salary monthly in Dec to Mar (4 months).

Hello,

Salaried people are normally not required to pay any advance tax.

In case the employer does not deduct  tax at source,the employee has to pay tax. However,in case the tax laibilty estimated for the year is more than TDS,then such employees shall be laible to pay advance tax. If advance tax laibilty is Rs.10000/- or more during the financial year. . If advance tax has been duly paid by him ,he saves interest leviable U/s 234A,234B,234C,where ever applicable.


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