SHORT ANSWER:
TDS (Tax Deducted at Source) in India is deducted by the person or entity making the payment.
DETAILS:
- TDS is applicable on various payments like salaries, interest, rent, etc.
- The deductor must obtain a Tax Deduction and Collection Account Number (TAN).
PUNISHMENT / IMPLICATIONS (if applicable):
- Failure to deduct TDS can lead to penalties and interest on the amount not deducted.
SOURCE:
- Income Tax Act, 1961
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