TDS Deduction in respect of exemp income under section 10(26) of Income Tax Act

Rahul Kumar Lakhotra (8 Points)

01 January 2024  
I am looking for some guidance on the applicability of TDS for an employee who belongs to a Scheduled Tribe as defined in article 366(25) of the Constitution and lives in the UT of Ladakh. As per section 10(26) of the Income Tax Act, the income of such an employee is exempt from tax. Does this mean that no TDS is required to be deducted from the salary of such an employee? Please advise.