DEAR ALL, IF A SALARIED PERSON DRAWS 35000/PM AND THIS IS INCLUSIVE OF DA,HRA ETC. NOW MY DOUBT IS IF HE GETS AT THE END OF YEAR BONUS/COMMISSION FOR HIS PERFORMANCE OF RS.300000/- HOW MUCH TAX HE HAS TO PAY FOR THIS BONUS ??? IS THIS BONUS/COMMISSION CONSIDERED AS PART OF SALARY ??? OR EMPLOYER NEED TO DEDUCT TDS ON IT OR HOW IS THE CALCULTAION ??? PLEASE HELP ME
RE:PLEASE HELP ME
by abhishek pandey on Mar 30, 2008 08:39 PM Permalink
Normally , it will be taxed on receipt basis .That is you do not know @ the begining of year how much the variable bonus be. SO ,your employer will deduct tax on it(TDS).
