payment TDS on salary

Presently I am working as a Finance Officer in Surat. I have completed my M.Com. from VNSGU, Surat

Presently I am working as a Finance Officer in Surat. I have completed my M.Com. from VNSGU, Surat

Schedule showing TDS rates for the financial year 2007-08 wef 01.06.2007								Exceding Amount
Section	Nature of payment	Payee (Receiver of the gross amount)
		Individuals & HUF		Firm		Corporae
		TI < 10 Lakh	TI > 10 Lakh	TI < 1 Crore	TI > 1 Crore	TI < 1 Crore	TI > 1 Crore
192	Salary	Regular	Regular	NA	NA	NA	NA
193	Interest on securities	10.3	11.33	10.3	11.33	20.6	22.66
194A*	Interest other than interest on securities	10.3	11.33	10.3	11.33	20.6	22.66
194B	Winnings from lottery cross word puzzle, game show	30.9	33.99	30.9	33.99	30.9	33.99
194C*	Payment to contractors:
	Advertising	1.03	1.133	1.03	1.133	1.03	1.133	20000
	Sub contractors	1.03	1.133	1.03	1.133	1.03	1.133	20000
	Others	2.06	2.266	2.06	2.266	2.06	2.266	20000
194D	Insurance Commission	10.3	11.33	10.3	11.33	10.3	11.33
194G	Commission, etc on sale of lottery tickets	10.3	11.33	10.3	11.33	10.3	11.33
194H*	Commission & brokerage	10.3	11.33	10.3	11.33	10.3	11.33	2500
194I*	Rent including furniture and fixtures	15.45	16.995	20.6	22.66	20.6	22.66	120000
	Machinery & Plant and Equipment	10.3	11.33	10.3	11.33	10.3	11.33
194J*	Fees for professional or technical services	10.3	11.33	10.3	11.33	10.3	11.33	20000
194LA	Compensation /consideration compulsory acquisition of any capital asset	10.3	11.33	10.3	11.33	10.3	11.33
* Individuals & HUF only if the payer is liable for tax audit u/s 44 AB
Note:	1) TI refers to total income of the payee
	2) Education cess has been increased from 2% to 3% from 01.04.2007.
	3) Regular rates for salary are slab rate applicable to Individual/HUF:

As Per Section 192 of Income Tax Act, the time limit  to deposit TDS deducted by person other than Government  is  within 7 days of salary paid. So in case salary is paid on 4the april the TDS should be deposited by 11 april.

 

As per Sec 192 Salary is credited as on 31st March so TDS is to be deposited up to 7th April . As amount credited or paid which ever is earlier. but as per provision if expenses booked on 31.03 so TDS would be deposited up to 7th May.

According to the provisions of TDS on salary under Section 192. TDS on salary should be deducted on payment basis not on due basis. But if anyone is going to deduct TDS on payment basis then they have to finalise the TDS in the month of february not in the month of march. But most of the companies deduct TDS on salary on due basis also as they finalize TDS on salary in the month of March. In above case if they will deduct TDS on payment basis(assuming TDS is finalized in the month of march) then the TDS return will be changed from 4th qtr to 1st qtr of the next A.Y. So if they are finalizing the TDS on March in such a case TDS should be dedcuted on provisonal basis on march 31 and should be deposited upto April7.

Correct me if im wrong

Thanks

i have booked salary of an employee for the month of Feb-12 and have deducted TDS on salary.Due to some reason the salary of the employee is put on hold .Iam i Liable to make payment of TDS?

i have booked salary of an employee for the month of Feb-12 and have deducted TDS on salary.Due to some reason the salary of the employee is put on hold .Iam i Liable to make payment of TDS?