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TDS Deduction on salary income by Company.

17 December 2023

I pay around 6 Lakhs per annum salary to each of my employees in my company. They file tax returns under the new regime. I want to ask do I need to deduct TDS from the salary as it exceeds the basic exemption limit or I don't need to as they will get it all refunded because it is less than 7 lakhs which is tax-free as advised by my CA.

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5 Replies

CA. Hemant Khatri (Expert : GST II Income Tax II Other Consultancy ) (27 Points)
Replied 17 December 2023

Yes!!

No Tax Shall be payable by Employee's.

Meanwhile arrange to collect declaration from employees in Form 12BB towards Other income earned and investments made.

This will ensure compliance in full.

Thanks

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RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 17 December 2023

Yes, I agreed with Mr CA Hemant Khatri...

@ Mr.Sanjit Kumar.,

Collect details of Deductions (and Any other Incomes) from employees. After that you can compute their Income under taxable or not... Also discuss them for compute the income under Old Tax Regime or New Tax Regime...

You can consider from Your side
- standard deduction
- EPF

1 Like

sabyasachi mukherjee (27574 Points)
Replied 17 December 2023

Not oossible

Sanjit Kumar (3 Points)
Replied 19 December 2023

So you mean to say I don't need to deduct TDS if their total income including their other income is less than 7 Lakhs...Right?

RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 19 December 2023

Originally posted by : Sanjit Kumar
	So you mean to say I don't need to deduct TDS if their total income including their other income is less than 7 Lakhs...Right?