Dear Sir,
We have made provision for LTA of one of our employee as on 31.03.2012 but still amt is not paid , employee will not submit any bills. we have not deducted/paid tds on this LTA Amount.
My question is, whether we have to pay tds & shown in TDS Return of F.Y.2011-12 or TDS to be deducted on actual payment of LTA?
Please suggest
Thanks
TDS on salary is made on PAYMENT basis.
Hence, when actual LTA payment is made, then only you can deduct Tax.
Regards
Prateek
Dear Surekha,
Better if employee had planned his tax. Ask him to get a bill for travel and then claim it in current year. There is no tds on presentation of travel bill. This is subject to maximum 2 trip in 4 block years.
Rgds,
Nitesh
CAclubindia
