Advance tax
Why a salaried employee should pay advance tax when TDS is cut from salary? Also if no salary is received, how can one pay tax just because provision is made? more
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There is difference between penalty and interest charged for deferment or non payment of Advance Tax. Interest is charged automatically if there is deferment or non payment of advance tax. Penalty can be imposed only after giving a notice to the tax payer and giving him an opportunity to explain his case. In case the employer has deducted lower tax than what is payable the balance has to be paid by the employee himself as advance tax or tax on self assessment at the time of filing the return. The interest calculation will depend on the age of the tax payer, his total income under different heads and the date of payment of tax. Incorrect deduction of tax by the employer does not mean that the employee is not required to deposit the tax short deducted by the employer. In case employee deposits the tax and interest thereon, the employer's penalty can be waived by the Income Tax authority. more
Jun 04
If you are a senior citizen whose income is not from business or profession,you need not pay advance tax.Further,you are supposed to pay advance tax if your income from other sources other than salary is 10000 or more.TDS on proportional basis is to be deducted from salary by your employer and this is not called advance tax.If it is done every month, you will have pay tax from year end month(s)salary and you may be left nothing to carry home. more
Jun 03
It is the duty of the employer to deduct TDS and make payment of the same in time by following relevant procedures. If TDS is deducted one need not pay advance tax. Advance tax is payable only if you tax liability is more than Rs.10,000/- more
Jun 03
