in addition, states that such employer shall be deemed to be an assessee in default in respect of such tax and shall be liable for the penal action under section 221 of the Act.
Deductions, in respect of investment in Rajiv Gandhi Equity Savings Scheme 2012, is now allowed for three consecutive financial year beginning with the financial year in which the listed equity shares or units were first acquired. Employers should carefully read through the circular to understand the changes brought into the tax law relating to withholding of tax on salary payment made to their employees to ensure that they are compliant with regard to taxes and mitigate any interest and/or penal consequences that could occur as a result of any default.
* The writer is senior tax professional, EY. Views expressed are personal