TDS query!

TDS 716 views 2 replies

Dear all

if a employee gets follwoing salary:

basis--12000

Spl. allowance--4000

HRA---6000

Conveyane allowance---800

Total salary is Rs. 22800/- per month but if company holds 10% of the monthly salary as Variable pay so for TDS calculations 22800/- amount will be considered or 20520/-?

if esi is also applicable in the above case then after deducting esi amount will be considered or before deducting esi?

Replies (2)

tds is deducted on the actual salary or net salary after deductions u/s 80c and so on..

and not on the amount which an employee is receiving out of the salary.

Similarly esi also wont effect the tds provisions

Ceiling limit for ESI is rs.15000/-, hence not applicable in this case


CCI Pro

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