Section 40(a)(1a) of income tax

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Goongan (Querist)
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04 April 2012 Section 40(a)(1a) of Income Tax no applicable to Salary. i.e. even if TDS not deducted on salary payment (exceed minimum limit) will not disallow u/s Section 40(a)(1a) . then why we deduct TDS on Salary?

CA ramesh

CA ramesh (Expert)
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05 April 2012 Non deduction attracts penalty under the IT Act

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Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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05 April 2012 Since section 192 of the IT Act,1961 governs TDS on salary.

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CA CS Amit S. Kedia

CA CS Amit S. Kedia (Expert)
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05 April 2012 There are 2 consequences of non deduction of TDS-
1. Disallowance of expenditure
2. Assessee shall be deemed to be in default u/s 201(1).

first consequence is not applicable for Payment of salary, but the If the assessee doesnot deduct the TDS, he will be treated as defaulter and liable for interest and penalty.

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Goongan

Goongan (Querist)
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05 April 2012 THANKS to all ....

C A S.S.Agarwal, M.Com.,LL.B,

C A S.S.Agarwal, M.Com.,LL.B, (Expert)
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07 April 2012 Kindly read the provisions of the section. In the section no hwere the word Salary is mentioned and accordingly if you have not deducted or after deduction have not deposited the TDS on Salary the IT department cannot come up with addition u/s 40(a)(ia. If any addition has been made then write to me at ssunderagarwal@gmail.com I will give you the feed back

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