Kickstart 2026 with CAclubindia Pro. Get 10% OFF. Subscribe Now! Use Code: HNY10

Tds on salary

TDS 198 views 1 replies

Abhijit

Accounts Professional

72 Points Joined October 2010

Dear All

Below are the salary details -

Monthly Salary - 20 Lakhs

Quarterly Incentives - 5 Lakhs

Annual Tax on Monthly Salary - 290000, Monthly Rs. 24000

Annual Tax on Quarterly Ince. - 72000, Quarterly Rs. 18000

Annual Tax on Total Salary - 362000, monthly Rs. 30000

For TDS, should I dedcut Rs. 24000 for April and May each and For June Rs. 42000 (24000+18000).

Or should I deduct TDS Rs. 30000 from April to March monthly?

Thanks & Regards

Abhijit

Replies (1)

CA Sunil Kumar

Chartered Accountant

4524 Points Joined July 2014

Deduct TDS Rs. 30000/- per month from April to March.
income tax is computed on the estimated annual taxable income, the estimated annual income tax is then divided by the number of months applicable and TDS is deducted every month from salary payment.