Tds

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This query is : Resolved

sagar kotak (Querist)

22 December 2012 There is employee employer relation,
The employee salary limit exceeds his taxable limit hence employer is liable to deduct TDS on his salary.
But Employee is refuses to deduct the TDS on salary and says i am agree to pay self assessment tax on it.
So it is valid that employee is directly paid tax to department.?

Please suggest some case law on above case.

Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)

22 December 2012 It the right of employer to deduct TDS as per section 192 of income tax act an employer must and should deduct TDS if the payment of salary by him is exceeds basic exemption limit after considering the deduction available with the employer i.e Prof.tax, PF and LIC salary savings(if any) as well as employer may consider the personal savings of employee by providing the proofs for such savings by the employee and taking declaration form the employee for his future savings (if employee want to invest in saving in future).

So employer has right to deduct TDS and employee no right to stop that. So employer has to deduct TDS in case employee objecting then employer shall ask employee submit the proofs for savings and declaration with his pan no and Employee ID and then consider that personal savings by the employee, employer shall compute tax according to the law and act and then deduct TDS.

If employee objected to all this employer shall not consider the empolyee's objection and shall deduct TDS based on the details available at the records of employer.

OM SAI SRI SAI JAI JAI SAI

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