This discussion clarifies when an employer needs to deduct Tax Deducted at Source (TDS) on employee salaries under Section 192. If an employee's total annual salary is below the taxable limit (currently £2.5 lakh after standard deduction), TDS is generally not required. However, if the employee has other income that pushes their total taxable income above the threshold, the employer must deduct TDS.
04 January 2020
No TDS required to be made if th gross salary paid per month is Rs.25,000 or Rs.3,00,000 per year as considering the standard deduction of RS.50,000 the taxable income shall be Rs.2,50,000 which is the maximum amount not chargeable to tax. So in the given case there would be no liability to make TDS unless the employee himself provides details of his other income and taking that into consideration the employee is liable to pay tax then the employer has to deduct tax and deposit the same to the credit of Central Government and also to file return of TDS.