TDS Deduction in respect of exemp income under section 10(26) of Income Tax Act

I am looking for some guidance on the applicability of TDS for an employee who belongs to a Scheduled Tribe as defined in article 366(25) of the Constitution and lives in the UT of Ladakh. As per section 10(26) of the Income Tax Act, the income of such an employee is exempt from tax. Does this mean that no TDS is required to be deducted from the salary of such an employee? Please advise.
Replies (5)
Quick Summary
This discussion clarifies whether Tax Deducted at Source (TDS) needs to be applied to the salary of an employee belonging to a Scheduled Tribe and residing in Ladakh, whose income is exempt under Section 10(26) of the Income Tax Act. The consensus is that if the employee has filed a declaration confirming their eligibility for this exemption, no TDS should be deducted. However, if no such declaration has been provided, TDS deduction is necessary.

N
tds means TAX DEDUCTED at source.
no TAX is supposed to be DEDUCTED at source.
I am asking for clarification regarding the applicability of TDS under section 192 in such a situation.
He lives in Ladakh. but where is his work location located?

2. has he filed a declaration to the income tax department.

3. has he given you that declaration filed.

3. if not, deduct tds.
This clarifies the issue. Many thanks
Declaration filed deduction not to be made

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