TAX DEDUCTED AT SOURCE

Anybody who makes one of the specific payments listed in the Income Tax Act must deduct the tax at the time of the payment. However, if the payer is an individual or HUF whose accounts do not need to be audited, then no TDS needs to be taken off.

However, even if an individual or HUF is not subject to a tax audit, they must deduct at the rate of 5% from rent payments made by them if they exceed Rs 50,000 per month. It is not necessary for these individuals or HUFs who are subject to a 5% TDS deduction to apply for TANs. Tax deducted at source is withheld by your employer at the appropriate income tax slab rates. Banks withhold 10% of TDS. Or, if they don’t have your Pan Card, they might subtract 20%. 

The income tax statute specifies the rates for the majority of payments, and the payer deducts the tax at source based on these rates. You are not required to pay any taxes if you provide your employer with investment proofs (to claim deductions) and your total taxable income is less than the taxable limit. Consequently, your income shouldn’t be subject to any  deductions.

Similarly, to prevent TDS from being deducted from your interest income, you can provide the bank with Forms 15G and 15H if your total income is less than the taxable limit. You can file a return and request a refund of this TDS if you were unable to provide documentation to your employer if your bank or employer has already deducted TDS, and if your total income is less than the taxable limit. the whole list of specified payments that are subject to deductions, as well as the rate.