Any person responsible for paying any income chargeable under the head “salary” is required to deduct tax at source on the amount payable. The person responsible for paying the salary at the time of deducting at source. The amount to be deducted for the purpose of adjusting any previous deficiency or excess deduction.
Who is responsible for tax deduction?
Any person responsible for paying any sum of any resident contractor for carrying out any work (including supply of labour for carrying out any work) in pursuance of a contract between specified person and the contractor is required to tax deducted at source
Specified person means: The following are the specified person for this purpose:
- Central government or any state government
- The local authority
- Any corporation established by or under a central, state or provincial Act
- Any company
- Any corporate society
- Any trust
- Any firm
- Any individual or HUF whose books are required to be audited u/s 44AB(a)/(b)
- Any foreign government or a foreign enterprise or any association or body established outside India (application from October 1,2009)