Salary and accumulated balance due to an employee(Deduction and collection at source)-section 392(new)/ section 192(old)

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....levant tax year. • The average rate is computed on the basis of: • rates in force for the tax year; and • the employee's estimated salary income for that year. Practical implication: The employer must estimate the employee's annual taxable salary and deduct TDS proportionately during the year. Section 392(2): Employer Paying Tax on Non-Monetary Perquisites The employer may, at its option, pay tax on non-monetary perquisites instead of deducting tax from the employee. • Applicable only to non-monetary perquisites taxable under section 17(1). • Tax is calculated at the average rate applicable to the employee's salary. • Such tax....

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....s of: • perquisites; • profits in lieu of salary; and • their valuation. (b) shall obtain prescribed evidence for: • deductions; • exemptions; • claims; and • set-off of losses. (c) may increase or reduce TDS during the tax year to adjust any excess or short deduction made earlier. Section 392(6): TDS on Recognised Provident Fund and Approved Superannuation Fund read with Schedule XI 392(6)(a) The trustees of a recognised provident fund shall deduct tax while paying accumulated balance where paragraph 9 of Part A of Schedule XI applies. 392(6)(b) Where employer's contribution (including interest) from an approved....

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....e financial year.. The expression "financial year" has been replaced with "tax year". Tax on Non-monetary Perquisites Covered under sections 192(1A) and 192(1B). Employer may opt to pay tax on non-monetary perquisites. Consolidated under section 392(2) without any substantive change. ESOPs of Eligible Start-ups Section 192(1C) provides deferred TDS for eligible start-ups referred to in section 80-IAC. Reference updated to section 140. Time limit is now governed by section 289(3) instead of being reproduced in the section. Employee Declarations Separate provisions under sections 192(2), 192(2A) and 192(2B) for salary from another employer, relief under section 89, house property loss, other inc....