Chief Differences between Professional Tax and Income Tax
We often confuse with the terms Income Tax and Tax Deducted at Source (TDS) while filing our tax returns. So, before you file your returns keep a tab on certain terms to avoid any sort of confusion. The Simple Differences between Income Tax and TDS: 1) Income tax is administered on all individuals or corporates for whatever may be the income limit above the tax limit for a particular time frame.TDS, or rather tax deducted at source, here the tax is deducted at the source of income, just assuming that you have a taxable income. 2) You pay income tax based on your annual income, whereas TDS is deducted at source on a regular basis in the particular year. 3) A taxpayer is required to pay income tax on his total annual income, whereas TDS is can only be regarded as the partial contribution to his total annual income. 4) When it comes to the TDS, the payer deducts the tax and is paid to the Government by the payer on the payee’s behalf It is expec