Deductions on salary

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

13 October 2011 Sir,

1)if the salary of a person is Rs 35000/- wat r the deduction and how much amout to be deducted? As per my knowledge PT is 200, IT is 4,20,000-1,80,000=2,40,000 x 10% = 24,000/12=2,000.00, is this correct?
kindly let me know any other deductions? kindly let me know PF calculation.

2) we had designed a photo realistic computer Prospective of our project, and designer has charged Rs. 35,000/-lum sum amount for that and mentioned that service charge is not applicable, i hav not deducted TDS for that? kindly advice me on this issue urgently

CA SUMiT PATWARi

CA SUMiT PATWARi (Expert)
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13 October 2011 1) This is okay. Other deductions possible is contribution to Provident fund etc.
2) Designers fees of Rs 35000 is in the nature of professional services.
Deduct tds @10% u/s 194J as the payment exceeds Rs30000

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CMA Ashutosh Kumar Gupta

CMA Ashutosh Kumar Gupta (Expert)
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13 October 2011 (1) Please refer to CBDT circular No.05/2011 of dated 16august 2011 to have a complete information and procedure. EPF is @12% of basic.
(2)Failure to deduct or remit TDS (full or part)
Interest:Interest @12% p.a. from the date onwhich tax was deductible /collectible to the date of payment to
Government Account is chargeable.
Futhere, rigorous
imprisonment ranging from 3 months to 7 years and fine can be levied.

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Preeti (9971144895)

Preeti (9971144895) (Expert)
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13 October 2011 Dear Mr. Raj,

i think that you have to bifurcate your 35000 salary into basis, hra, conveyance allowance, medical reimbursement for tax saving purpose. then your tax will be reduced automatically.

Thanx & Best Regards,
Preeti Rajput
9015098149

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