Query on tds

CA Nayan Gupta (Finance Manager Overcart.com)   (1695 Points)

25 May 2015  

As per the service agreement between a government department (employer) and employee, in the event of death of the employee, a sum equivalent to salary is required to be paid to his family member till the retirement age of the deceased. Whether TDS would be required to be deducted on the said payment by the government employer to the family member of the employee? If yes, under which section?

 

Thanks in advance..