Tds on salary

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whether it is a duty of employer to deduct Tax from his employee's salary whose Annual salary is not crossing the basic exemption limit?
Replies (15)

There will be no need to deduct tds from employee salary, if employee income not more than exemption limit.

If Net Taxable income is less than Maximum amount not chargeable to Tax than no one is require to deduct tax.

Net Taxable Income = All incomes - Loss from House Property - Deduction Under chapter VI (ie Sec.80 deduction)
Note : You can not consider Deduction U/s 80G while calculatin TDS on salary.

No need to Deduct TDS if the net Income is less than the basic exemption Limit

Because there is no question arise for  Income Tax if Net Income is lower than the basic exemption limit

Dear Varsh*t Shah,

Pls give a link/reference ,Where it is written that Sec80G is not consider for Taxable Income for Salary.

no need to deduct TDS when salary is below the basic limited after deducting all employee savings.....................

Dear Harish

Circular No. 11/2006

Originally posted by : Hemant Kumar

There will be no need to deduct tds from employee salary, if employee income not more than exemption limit.


Agree.....

No need to deduct tax in such cases

As income is less than basic exemption limit ,there is no liability of tax so no need  to deduct tax in such case

If,your income is less than exmption limit,there is no need to deduct TDS.if by mistake employer has deduct tds you can ITR file for refund.

No TDS is required below taxable income

The bsdic duty of the employer is to get all the details of sources of income of his employee and the investments made by him and if his salary is not exceeding the exemption limit then make sure his net taxable income id not exceeding the limit so as to be sure as to whther to deduct tax or not...!!!

What they have told is correct...there is no TDS if the Taxable income is below the basic exemption....

No need to deduct TDS on salary below the exemption limit


CCI Pro

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