TDS for Consultant/Contract Employee

Dear All, I plan to move on with my career as an independent consultant [data analyst] One of my prospective future clients, would however like to hire me as a contract employee for 1 year, with fixed monthly payments (annual total to exceed 5 Lakhs) What % of TDS can they deduct? 2% or 10.33%? What can i claim as deductions given that in that scenario, there is no PF, gratuity, LTA, medical benefits, transportation etc. ? (it is just a lump sum amount per month - I would have no leaves too) To lessen my tax burden would it be beneficial if I start my own firm, and let the client hire the services of the firm? Any reply or contact information of CAs who can help me would be greatly appreciated. regards ram