Are Sales Incentives Taxable and How Do They Affect TDS in Your CTC Package?

riajia

Dear All,

I am working as an HR and recently joined a sales company. I would like to know if incentives on sales are taxable. Also, if we include incentives in the total CTC, will TDS be calculated based on including the incentive amount?

Regards,
Ria

maniish1311

Dear Ria,

Yes, incentives on sales are taxable. If you're adding incentives to the total CTC of an employee, then you also have to deduct tax on that (if applicable).

Regards,
Manish

If you are knowledgeable about any fact, resource or experience related to this topic - please add your views. For articles and copyrighted material please only cite the original source link. Each contribution will make this page a resource useful for everyone. Join To Contribute