TDS on salary

1. If employee declares other incomes in the declaration form then the employer should consider all income while deducting TDS from the salary income. In case of loss, only loss from house property would be considered and no other loss.

2. No. Even if the employer is aware of the fact that the employee is earning other income which is liable for tax then it is on the will of the employee to declare it or not.

3. No subject to TDS on salary and HP income should be deducted and deposited properly and timely.

4. No

5. No.

1.First of all everything depends on the declaration submitted by employee with regard to his income if he doesn't declare all his income employer can't calculate the tax rate properly to be charged on salary.

2. Yes employer should prepare a declaration where employee can declare all his income and loss from house property and all his deductions.

3. If he has received proper declaration then he will be liable otherwise not.

4. if employee had provided the details then he was required to calculate TDS rate taking everything into consideration. He can be liable for interest.

5. Employer needs to deduct TDS only on salary income the details of other income helps him to find TDS rate. If even after providing the details employer doesn't deduct proper TDS he can be liable for interest till the date employee filed his return of income.

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Thank you.

Hello,

Answering your query pointwise.

1. Yes, the details of other income to be considered that are reported by the employee to the employer are of two heads, Income from house property and income from other sources, both offered for TDS.

2. There is no boundness for the employer unless other details are reported by the employee to the employer. But if the employee doesn't provide details to the employer for Form 16 and directly report in the income tax return, then discrepancy will arise which may initiate an inquiry.

3. If an employee reports income from other heads and offer it for TDS and the employer doesn't cover it in his Form 16, even then there is no provision that holds the employer liable as an employee can show it in its Income tax return later and pay tax accordingly. 

4. No, same as the 3rrd point reason.

5. An employee cannot himself pay tax through Form 16, only TDS from its salary can be deducted at that time. So again there is no provision that holds the employer liable. (Further, an employee can itself pay advance tax on his other income, and that income might not be offered for TDS in Form 16)

Further, it would like you to know that the new Form 16 is made effective from 12 May 2019. Thus, employers issuing Form 16 for the financial year 2018-19 after that date will have to issue in the new format.

I hope this answer satisfies your requirement.

Regards,

CA Hunny Badlani

Hi,

Hope you are doing well !!

1. Not, it is not compulsory untill the declaration given by employee covering all other heads of income.

Generally, employers are asking for home loan details for tds calculation.

However, it is totally depends on company policy.

2. No, not at all.

3.No.

4.No.

5.No.

Hi

1.Yes ,employer should consider all heads declare by employee.

2.No

3.No

4.No.Its all depends on declaration given by employee.

5.No

Hope it helps

Hi

1. Yes, all heads including loss under house property head must be considered. The employee should report the same to the employer.

2. The employer must receive a declaration form the employee. Now, it's employee's option to report all the incomes.

3 4 5. No.

Dear Sir,

1. An employer should consider other heads of income for calculation of TDS only if an employee is given declaration for the same and also it is in company policy.

2. No, he is not bound unless it is specified in company policies.

3,4 & 5 No.