Employees of Liaison Office

it depends.

first of all check ur status. whether u r an indian resident as per income tax act or not??

if u r a resident then...ur totalincome whether accruing in india or outside india will be taxable.therefore tds will surely be deducted.

if u do not fall under the definition of indian resident , i.e. u r an nri then only the income accruing to  you in india is taxable. eg. eg u worked in india,s liasion office for the month of december...and rest of the time you worked in singapore...then only 1/12th of ur salary is taxable in india(subject to dtaa with singapore if any).tds will  be deducted only on the sum taxable in india. for employer it is very essential to make sure they deduct and deposit the tds in time oyherwise the salary paid will get dissallowed.

Hi Kabir;

Thanks a lot, I am an employee and permanent resident of India, But my company donot deduct any TDS.. Niether can provide form 16 as they are not a Permanent Establishment of India,

Please help me know how the tax structure would be?? Is it the normal one.

Also let me know under which section of IT act it is mentioned the taxation stucture for Employees of Liaison office.. In some post I read that it is 10 % on the taxable amount.

 there is no special section for liasion officer as far as i know.

since u r a permanent tds in india ...all ur income is subject to tax....and therefore ur co, is responsible to deduct tax u/s 192. plz talk to the finance manager ...and discuss the point.

this is section 192.

Salary.

⁵⁷192. ⁵⁸(1) Any person responsible for paying any income chargeable under the head Salaries shall, at the time of payment, deduct income-tax ⁵⁹[***] on the amount payable at the average rate of income-tax ⁶⁰[***] computed on the basis of the ⁶¹[rates in force] for the financial year in which the payment is made, on the estimated income of the assessee under this head for that financial year.