TDS Rate Chart Section 192 — TDS on Salary
Section 192 — TDS on Salary
Income Tax Act 1961 — s.192 · ITA 2025 — s.392 + 402
Rate and threshold
| Condition | Rate |
|---|---|
| All salary payments | Slab rate (average rate of income tax) |
- Threshold
- No fixed threshold — no TDS if estimated income is below the basic exemption / rebate level for the chosen regime
- Timing of deduction
- At the time of payment (not credit). Deposited by the 7th of the following month (30 Apr for March).
- Who deducts
- Every employer paying income chargeable as Salaries
- Payee
- Employee (resident or non-resident)
What this section covers
Salary, including perquisites and profits in lieu of salary
Worked example
Employee, new regime, annual salary ₹12,00,000 (FY 2026-27)
Employer computes annual tax under the opted regime after standard deduction, divides by 12, and deducts that average amount monthly. If tax payable is nil after s.87A rebate, no TDS.
Employee's declaration of regime choice and other income (Form 12BB / 12BAA) drives the computation.
Under the Income Tax Act 2025
From 1 April 2026, s.192 of the 1961 Act maps to s.392 + 402 of the Income Tax Act 2025 (split mapping, per the official CBDT concordance). Salary TDS sits in s.392 of the ITA 2025 (not s.393, which covers non-salary TDS).
Full 1961 → 2025 mapping for s.192 →Frequently asked questions
Can the employer adjust TDS already deducted earlier in the year?
Yes. Section 192 allows the employer to increase or reduce deductions in later months to true-up against the estimated annual tax liability.
Does TDS on salary include cess?
Yes — unlike other resident TDS sections, s.192 tax is the actual computed liability, which includes surcharge (if applicable) and health & education cess.