Circular No. 1/2024 — TDS on salary — updated computation guidelines AY 2024-25
Date: 2024-01-23 Status: ACTIVE Category: TDS / TCS Binding on Department: Yes (Section 119 / Section 400 IT Act 2025)
Summary
Updated computation guidelines for employers deducting TDS on salary for AY 2024-25. Incorporates new tax regime changes and revised standard deduction.
Key Directions
- Default tax regime for AY 2024-25 is new regime under section 115BAC.
- Standard deduction of Rs. 75,000 applicable under new regime.
- Employers must obtain Form 12BAA from employees opting for old regime.
Applicability Under IT Act 2025
Saving Clause: Section 536 of IT Act 2025 saves circulars issued under the 1961 Act “so far as not inconsistent” with the new Act.
| Old Section (1961 Act) | New Section (2025 Act) | Consistent? |
|---|---|---|
| 192 | 392 | Yes |
Cross-References
Act Sections
Related Circulars
- None identified
Key Case Law (Circular Supremacy)
- To be populated — cases where this circular was cited/applied
Full Text
Full text to be added — see raw/circulars/ for PDF when available
Source
- Official: incometaxindia.gov.in/circulars