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Taxable Income

What is TDS or Tax Deducted at Source?

Tax deducted at source (TDS), as the very name implies aims at collection of revenue at the very source of income. It is essentially an indirect method of collecting tax which combines the concepts of pay as you earn and collect as it is being earned. Its significance to the government lies in the fact that it prepones the collection of tax, ensures a regular source of revenue, provides for a greater reach and wider base for tax. At the same time, to the tax payer, it distributes the incidence of tax and provides for a simple and convenient mode of payment.

The concept of TDS requires that the person on whom responsibility has been cast, is to deduct tax at the appropriate rates, from payments of specific nature which are being made to a specified recipient. The deducted sum is required to be deposited to the credit of the Central Government. The recipient from whose income tax has been deducted at source, gets the credit of the amount deducted in his personal assessment on the basis of the certificate issued by the deductor.

Source: Income Tax Department

Salaries

Income from House Property

Business

Capital Gains

Income from Other Sources

Wealth Tax

PAN

General

Taxable Income

Return of income

Assessment

Due dates for filing tax returns

Deductions

NRIs

Sections
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