192b salary tds rate

TDS on salary means that tax has been deducted by the employer at the time of depositing the salary into the employee’s account.

• The amount deducted from the employee’s account is deposited with the government by the employer.
• Before an employer deducts tax at source from an employee’s salary, he/she must obtain TAN registration.
• The Tax Deduction and Collection Account Number or TAN number is essentially a 10-digit alphanumeric number that is used to track TDS deduction as well as a remittance by the Income Tax Department.

Formula to Calculate TDS on Salary

The formula to calculate TDS on Salary is as follows

Income Tax Rate = Income Tax Payable (computed with slab rates) / Estimated Revenue for the financial year

How do I Calculate TDS on my Salary under Section 192

While the basic salary is fully taxable according to the respective tax bracket, some exemptions are available for payments made as allowances and perks.

You can calculate TDS on your income by following the below steps:

Step 1: Calculate gross monthly income as a sum of basic

how much tds is deducted on salary calculator

how much tds is deducted on salary per month 2023