Tax Deduction at Source on Salaries: updated withholding rates, employer perquisite payment option, reporting and compliance obligations. Employers must deduct income tax on estimated salary income for FY 2011-2012 at age and gender based slab rates, add applicable education cesses, and are subject to higher withholding where PAN is not furnished. Employers may opt to pay tax on non monetary perquisites and must compute such tax at an average rate, deposit it when salary tax is otherwise deductible, issue Form 12BA and Form 16 with required PAN/TAN/receipt identifiers, file quarterly TDS statements (Form 24Q) electronically where mandated, and comply with specified deposit timings, e filing validation procedures and penalties for non compliance.