03 January 2010
*First you ask the saving detail from your employees. * after considering the amount of deductions *count taxable income and apply the applicable tds slab rates. *Finally deduct the tds amount from employees salary.
03 January 2010
Gross Salary Less :- Sec 10 Less :- Deduction (P.T & En.Allowance) Add :- any other income reported by emplyee Less :- Deduction u/s VI-A Less :- Deduction otherthan u/s VI-A ___________________________________ Net Taxable
on net taxable income you have to calculate tax + edu.cess and then divided by 12 and that amount you have to deduct monthly. and whenever your employee invest any sec. to get relief then that month you have to calculate their tax onceagain and divided by pending month... thats how you stick to the system of tds.
CAclubindia
