My Friend working in a Constraction Company, he is getting monthly Rs.2000/- as incentive extra. company deducting 10.30% as TDS. Is it Possible? Pls give to me currect answer.He is a normal employee & employer employee relatoinship exist.
prajeesh k (CA -Article Student) (80 Points)
22 August 2008My Friend working in a Constraction Company, he is getting monthly Rs.2000/- as incentive extra. company deducting 10.30% as TDS. Is it Possible? Pls give to me currect answer.He is a normal employee & employer employee relatoinship exist.
Ananth
(Audit Executive)
(20 Points)
Replied 22 August 2008
| Originally posted by :prajeesh k | ||
| " | My Friend working in a Constraction Company, he is getting monthly Rs.2000/- as incentive extra. company deducting 10.30% as TDS. Is it Possible? Pls give to me currect answer. | " |
first find out whether he is a normal employee and whether there is employer- employee relation
CA Hemant T Dewani
(Chartered Accountant)
(3356 Points)
Replied 22 August 2008
WHETHER EMPLOYER EMPLOYEE RELATIONSHIP IS EXIST & YOU ARE EMPLOYEE ON PAY ROLL THEN YOUR SALARY IS RS 24000/- IN THE YEAR & NO TDS IS TO BE DEDUCTED
prajeesh k
(CA -Article Student)
(80 Points)
Replied 22 August 2008
| Originally posted by :CA Hemant T Dewani | ||
| " | WHETHER EMPLOYER EMPLOYEE RELATIONSHIP IS EXIST & YOU ARE EMPLOYEE ON PAY ROLL THEN YOUR SALARY IS RS 24000/- IN THE YEAR & NO TDS IS TO BE DEDUCTED | " |
prajeesh k
(CA -Article Student)
(80 Points)
Replied 22 August 2008
| Originally posted by :CA Hemant T Dewani | ||
| " | WHETHER EMPLOYER EMPLOYEE RELATIONSHIP IS EXIST & YOU ARE EMPLOYEE ON PAY ROLL THEN YOUR SALARY IS RS 24000/- IN THE YEAR & NO TDS IS TO BE DEDUCTED | " |
Sir , Actually it is not a salary . it is an extra payment beyond salary .salary around Rs.16000/- per month.
CA MOHIT VAATS
(Consultant)
(554 Points)
Replied 22 August 2008
Incentive to employee is also the part of the salary....
TDS should be deducted at the Average rate of Tax applicable on Salaried individual
prajeesh k
(CA -Article Student)
(80 Points)
Replied 22 August 2008
| Originally posted by :Mohit Vats | ||
| " | Incentive to employee is also the part of the salary.... TDS should be deducted at the Average rate of Tax applicable on Salaried individual |
" |
Sir , Then how they deducted @ 10.3% ?
Live class on PF & ESI Enrollment & Returns Filing(with recording)
CAclubindia
