TDS on car allowance payable qtrly.

JOSEPH (Head - Payroll and Compliance)   (28 Points)

26 July 2009  


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.