mohammed lateef (article ) (101 Points)
29 March 2010If I paid Salary to 3 Employees Rs.30000/- Each per month for 3 Months i.e jan Feb & March Rs.90,000/- each
is it essantial to deduct TDS ?
Is it our responsibility to collect all the Financial Income details of those individuals and to deduct TDS?
If we will not deduct TDS what will be happened? as per IT or TDS Law?
Alok Bansod
(Accounts executiv)
(135 Points)
Replied 29 March 2010
It is employer liability to deduct tds on salary,if it is taxable. It attraction action from income tax dept. for non deduction.
U can calculate tax on salary itself, . If the employees gives details of other income u can caculate on that as well.
fine, penalty is imposed.
Ratan Deep Saxena
(Asstt Manager (Accounts & Finance))
(2998 Points)
Replied 29 March 2010
it is the responsibity of the employer to get the deatils of previous income details of the employee and accordingly deduct TDS.
A confirmation Statement showing total income upto Dec, 2009 duly signed by the employee becomes the significant proof for deducting TDS.
regards,
ratan
saranraj
(CA FINAL)
(419 Points)
Replied 29 March 2010
It is not mandatory if salary is paid inside India...
Alok Bansod
(Accounts executiv)
(135 Points)
Replied 29 March 2010
as per section 201(1a) interest for non deduction or delayed remittance of tds attracts interest @ 1%
so if it is taxable deduct tax and also confirm whether previous employer has deducted tax or not. If not u can deduct tax.
it is better to deduct tax and pay to govt. insteat of interest by company which not admissible expenses.
SACHIN
(accountanat)
(22 Points)
Replied 30 March 2010
Dear Sir,
I am sachin vinayak jadhav, i working with ltd company as a account executive on contract basis & i get rs 15000/-per month on ctc basis. i work as normal working hours as their employee do. apart from above income i dont have any other income source, my company has ded rs 1500/- every month on my salary income as tds on prof fee @ 10%. In this regard what i will do for save rs 1500/- per month
mohammed lateef
(article )
(101 Points)
Replied 30 March 2010
Hello sachin,
you are a professional and if professionals are paid more than 20000 p.a the company has to deduct T.D.S on it @ 10% but dont worry you can claim all the amount in ur return which is filed in june after closing of the financial year but anyways it will take some time to get back the money. Now clear me if ur being directly paid by ur company where ur working on contract or the company which has taken the contract is paying you. clear this. take care.
C.A Rohit Gambhir
(C.A)
(275 Points)
Replied 03 April 2010
You need to take declaration from employee regarding income from other sources and deduct TDS accordings. If employee does'nt provide complete details then its employee's liability to payadvance tax or self assessment tax as the case may be,
CAclubindia
