At the time of paying salary to an employee, the employer deducts TDS u/s 192. The employer has to file salary TDS return in Form 24Q. 24Q is to be submitted on a quarterly basis. Details of salary paid to the employees and TDS deducted on such payment is to be reported in 24Q.
24Q consists of 2 annexures – Annexure I and Annexure II.
While Annexure I has to be submitted for all four quarters of an FY, Annexure II is not required to be submitted for the first three quarters. Annexure II has to be submitted in the last quarter (Jan – Mar) only.
TDS on salary has to be deducted as per income tax slab. The employer has to consider all deductions and investments of the employee (if proofs of such investments are submitted).
Annexure I of 24Q
Annexure I shows deductee wise break up of TDS against each particular challan.
Details of challan(s) to be mentioned in Annexure I
Details of deductee(s) to be mentioned in Annexure I
Besides, if the employer doesn’t deduct TDS or deducts TDS at a lower rate, he’ll have to provide the reasons for such non-deduction or lower deduction.
192A – Salary paid to govt. employees other than union govt. employees
192B – Salary paid to non-government employees
| Quarter | Due Date |
| April to June | 31st July |
| July to September | 31st Oct |
| October to December | 31st Jan |
| January to March | 31st May |
Interest:
If TDS not deducted – 1% per month, from due date of deduction to actual date of deduction,
If TDS not deposited – 1.5% per month, from actual date of deduction to actual date of payment
Late Filing Fees – under section 234E, a fine of Rs. 200 per day is to be paid until the return is filed. This amount has to be paid for each day until total fine becomes equal to the TDS amount.
The penalty under 271H – In addition to fees to be paid under 234E, AO may charge the penalty of minimum Rs. 10,000 and maximum Rs. 1,00,000.
No penalty will be charged under 271H if –