TDS Question / If I am Liable to Pay TDS @5,000 P.M.?

[Asked by Guest]

Hi Raghavendra Varma,

My Employer plans to deduct ₹ 5000 (at 10%) on Total Profit + Base Salary. Please find the details below:

Company Balance:

225,000 + Taxes Client1 = 257,000

250,000 All inclusive Client2

40,000 + taxes Client3 = 44,000

Total :- 551,000

Company Deductions for Profit Sharing:

TDS 10% : 55,000

Service Tax 14% : 77,000 (Approx)

Cess : 2750 (Approx)

Me (Base Salary: 40,000

Gagan : 45,000

Vishwesh : 28,000

Rakesh : 30,000

Ritesh : 80,000

New Laptop for Shailesh : 50,000 (Approx)

Server : 10,000

Mainak : 25,000 (Approx, to be decided)

Misc Expenses 8,000

Balance Profits : 100,000

My 10% Share = 10,000

Total Payable to Me = 50,000 (Base Salary + 10% of Profit)

Now over this balance as well, my employer asks:

1. The company shall deduct 10% of 50, 000
2. The company shall deduct PT

Which basically means I would get Balance Amount - TDS + PT = Actual Revenue per month = 50, 000 - (5000 + 200) = 44, 800 INR

My Question is:

1. On Profits, Company TDS was already calculated, 10% of overall should be again calculated?
   
2. Which ITR form return should I e-fill?

Kindly let me know the details.

AI Summary

Salary and profit share taxation: employer may deduct TDS; file appropriate ITR to claim any refund entitlement.
Salary and profit share payments to an employee are taxable in the employee's hands and may be subject to Tax Deducted at Source by the employer. Selection of the appropriate income tax return form depends on the composition of the employee's total income; the taxpayer may file a return to reconcile actual liability and claim refund of any excess TDS withheld. Procedural details on e filing and form availability should be checked with the tax authority's official resources.