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What is Tax deducted at sources?

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Anonymous

16y ago
Updated: 8/17/2019

Maybe to make sure it is paid? It refers to any tax that was collected at source...like payroll withholding or tax deducted from an interest payment.

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Wiki User

16y ago

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Complete information about TDS?

TDS, or Tax Deducted at Source, is a tax collection mechanism in India where a certain percentage of tax is deducted from payments made to individuals or entities at the time of transaction. It applies to various income sources, including salaries, interest, rent, and professional fees, and the deducted amount is submitted to the government. The rates and provisions for TDS are governed by the Income Tax Act, and taxpayers can claim credit for the TDS deducted against their total tax liability. Failure to comply with TDS regulations can result in penalties and interest charges.


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You can use the following calculator to determine how much tax will be deducted from your paycheck: http://www.paycheckcity.com/NetPayCalc/netpaycalculator.asp Remember that the amount of income tax deducted depends on how you fill out Form W-4 that you give to your employer. It is not the real amount of tax you owe. The real amount is calculated when you fill out your tax return at the end of the year. When you fill out and file your tax return, you will get a refund if too much was deducted or you will pay more if not enough was deducted.


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You can use the following calculator to determine how much tax will be deducted from your paycheck:http://www.paycheckcity.com/NetPayCalc/netpaycalculator.aspRemember that the amount of income tax deducted depends on how you fill out Form W-4 that you give to your employer. It is not the real amount of tax you owe. The real amount is calculated when you fill out your tax return at the end of the year. When you fill out and file your tax return, you will get a refund if too much was deducted or you will pay more if not enough was deducted.


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