New TDS deduction circular published: TDS deduction in salary is now covered by a new circular; read it right away.
Salary TDS deduction: The CBDT published the circular last week. It outlines how employers are responsible for withholding tax at source from employee salaries in accordance with section 192 of the Income Tax Act of 1961 for the fiscal year 2022–2023.
The Central Board of Direct Taxes (CBDT) has published a circular governing the deduction of TDS from salaries. (Tax) must be subtracted. According to news agency IANS, tax should be withheld at the average rate determined using the rates in effect for the current fiscal year on the income (income) from the recipient's anticipated wage for that year.
The circular outlines employers' obligations.
The CBDT reportedly released the circular last week, according to the news. It outlines how employers are responsible for withholding tax at source from employee salaries in accordance with section 192 of the Income Tax Act of 1961 for the fiscal year 2022–2023. According to section 192, the person in charge of paying salary income is required to give the payer with a document that accurately and completely describes any perquisites or benefits received in lieu of compensation and their value.
How much monthly TDS on average must be deposited
For example, if a person earns Rs. 6,00,000 in pay year, the tax on the complete wage, including the cess, equals Rs. 33,800 at the standard rate. It costs Rs 2,815 to calculate taxes on Rs 50,000 using the average tax rate of 5.63 percent. This means that TDS of Rs 235 must be subtracted from this sum each month.
prevailing income tax rate
Income maximum
From Rs. 300,000 to Rs. 6,00,000, there is no income tax.
5% of income over Rs. 3,000,00 is taxed. 6,000,001 to 900,000 Rs. 15,000 + 10% on income over 6,000,001 Rs. 9,000,000 to 12,000,000 Rs. 45,000 plus 15% of revenue over 9,000,000 Rs. 120,001 to 150,001 Rs. 90,000 + 20% of income over 120,001 Rs. 30% of income over Rs. 150,000 plus Rs. 15,000,000
