Tax Deduction at Source: Employers must compute and deduct tax from salary payments and remit timely using prescribed forms. Employers must, under section 192, estimate employees' salary income including taxable perquisites, calculate tax at prescribed slab rates and deduct tax on average at each payment; employers may opt to pay tax on non monetary perquisites which is treated as TDS, and deductors must obtain/quote TAN and ensure deductee PAN, issue Form 16/Form 16AA and Form 12BA where applicable, file quarterly electronic TDS returns, apply valuation rules for perquisites and allow specified deductions and exemptions only after verification, with penalties and interest for non compliance. Arrears are subject to TDS only when paid.