Hello,
In my office we have a car allowance and that is payable quarterly to the Managers for example one manager gets 2 lacks this is payable 50000 per qtr.
My query is how to treat this at the time of monthly TDS? Since this amount is not payable monthly can I deduct TDS only when it is paid or is it mandatory to deduct TDS equal each month even the amount is paid quarterly.
If I deduct TDS every month this particular Manager take home salary will be reduce by Rs. 5000 as we are deducting TDS 30 % on the car allowance, which is payable quarterly.
Kindly provide if possible the provisions where we can deduct the TDS only while making the payment, as this will help the Manager.
Regards
Joseph
CAclubindia
