BUSINESS DEVELOPMENT MANAGER
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Joined February 2019
Section 192 of the Income Tax Act, 1961 deals with tax deducted at source (TDS) on salary. Your employer will deduct TDS from the salary payable to you.
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When is TDS Deducted under section 192.
| Age |
Minimum income |
| Resident in India below 60 years |
Rs 2.5 lakh |
| Senior Citizens between 60 years and below 80 years |
Rs 3 lakh |
Compute the available exemptions under Section 10 of the Income Tax Act (ITA) Subtract exemptions found in step (2) from the gross monthly income calculated in step (1) Multiply the number obtained from the above calculation by 12, as TDS is calculated on yearly income. This is your taxable income from salary.
The TDS deduction on salary can only be made at the time when actual payment is made. Also, it will be deducted when the employee's salaried income is taxable. However, if the pay is equal to or less than Rs. 2,50,000, then TDS on salary will not be deducted.