Salary
B.—Deduction at Source
Salary
192. (1) Any person responsible for paying any income chargeable under the head "Salaries" shall, at the time of payment deduct income-tax 3[***] on the amount payable at the average rate of income tax 4[***] computed on the basis of the rates of tax in force for the financial year in which the payment is made, on the estimated income of the assessee under this head for that financial year.
1[(2) ***]
(3) The person responsible for making the payment referred to in sub-section (1) 2[***] may, at the time of making any deduction, increase or reduce the amount to be deducted under this section for the purpose of adjusting any excess or deficiency arising out of any previous deduction or failure to deduct during the financial year.
(4) The trustees of a recognised provident fund, or any person authorised by the regulations of the fund to make payment of accumulated balances due to employees, shall, in cases where sub-rule (1) of Rule 9 of Part A of the Fourth Schedule applies, at the time an accumulated balance due to an employee is paid, make therefrom the deduction provided in Rule 10 of Part A of the Fourth Schedule.
(5) Where any contribution made by an employer, including interest on such contributions, if any, in an approved superannuation fund is paid to the employee, 3[tax] on the amount so paid shall be deducted by the trustees of the fund to the extent provided in Rule 6 of Part B of the Fourth Schedule.
(6) For the purposes of deduction of tax on salary payable in foreign currency, the value in rupees of such salary shall be calculated, at the prescribed rate of exchange.
4[***]
3. The words "and super-tax" were omitted by s. 44(i) of the Finance Act, 1965 (Act No. 10 of 1965) w.e.f. 1-4-1965.
4. The words "and average rate of super-tax respectively" were omitted by s. 44(i) ibid.
1. Sub-section (2) was omitted by s. 44(ii) of the Finance Act, 1965, w.e.f. 1-4-1965.
2. The words, brackets and figure "or sub-section (2)" were omitted, ibid.
3. Subs. for the words "income-tax and super-tax" by the Finance Act, 1965, w.e.f. 1-4-1965.
4. The Explanation was omitted by s. 44(v) of the Finance Act, 1965, w.e.f. 1-4-1965.
[As amended by the Finance Act, 1966]