03-20-2010, 09:48 PM
As per section 139 you are supposed to deduct tax every month on the estimated "Salary" of the employee for that tax year irrespective of how long he / she has been working for you. Fact that you still have not deducted the tax makes your company personally liable for that tax under section 161. However you can further recover that tax from the employee though penalty will be imposed under section 161 referred to as additional tax.
Same answer for your second question.
Read section 149 for salary and section 160 and 161 for deduction of tax, things will get clearer.
Same answer for your second question.
Read section 149 for salary and section 160 and 161 for deduction of tax, things will get clearer.
