15 December 2012
As per Section 192 TDS on salary should be paid within 7 days from last day of month in which deduction is made.
Case :- Suppose a company paying salary for the month of April on 5th May and it also booked salary on the same day. Whether Due date of Payment of TDS on Salary for the month of April will 7 th June.
2. What shall be treatment of TDS on salary for the month of March 12
1) It is 7th of June. As the company has booked salary on 5th of May, they must have deducted TDS on the same day onle. Hence for Deduction made in May, the payment liability will be in the next month June 7.
2)For the month of March. The Company need to make provision for salary expenses in the month of March only, hence TDS will be deducted on the same day generally 31st March. However, TDS deducted in the month of March is required to be paid by 30th April and not 7th April.
currently one of my client has installed Tally ERP and generating salary through Payroll software.
and software generate salary by default at the last day of the month. but problem is if company generates salary on last day suppose 30th Apr, it has to pay TDS by 7th May.
Some one replied me that as per rule for Apr month Salary (ignoring the booking date) the due date of payment of TDS U/s 192 is 7th May.
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