F.No. 275/192/2018-IT (B) — It b corrigendum

What this is

F.No. 275/192/2018-IT (B) was issued by the Central Board of Direct Taxes on 18 January 2019. Its subject is It b corrigendum.

This is the Board’s annual salary-TDS circular. It restates the law on deduction from salary for one financial year, with the year’s rates and the year’s forms. Use the circular for the year in question, never a later one.

What it does

Corrects the worked examples in the Board's annual circular on deduction of tax from salaries, Circular No. 1/2019 dated 1 January 2019, which deals with the financial year 2018-19 under section 192. In Annexure-I, in Examples 1 to 8 at pages 47 to 55, the words 'For Assessment Year 2018-19' are to be read as 'For Assessment Year 2019-20'. In Example 1 at page 47, in paragraph A against serial number (ii), 'Rs. 5,00,000' is to be read as 'Rs. 4,00,000'. And in Examples 1 to 10 at pages 47 to 59 a standard deduction of Rs.40,000 under clause (ia) of section 16 is to be allowed, with the computation of total income and of the tax payable modified accordingly.

Why it was issued

The corrigendum records no reason; it simply corrects errors in the examples annexed to the salary circular.

Who it reaches

Employers deducting tax from salaries for the financial year 2018-19
Payroll staff working from the annexed examples
Salaried employees checking a deduction computed on those examples

The provisions it speaks to

Left, the provision of the Income-tax Act, 1961 as the instrument itself names it. Right, the section of the Income-tax Act, 2025 that the department’s own concordance maps it to — which is where the same ground is now covered.

Under the 1961 Act	Now
s.192	s.392, s.402

The instrument, as the Board published it

The department publishes this one only as a PDF, so the words below were read out of that PDF by machine. That reading can carry its own mistakes — a misread number, a broken line. Check the signed document before you rely on a figure in it.

F.No. 275/192/2018-IT (8)
Government of India
Ministry of Finance
Department of Revenue
Central Board of Direct Taxes
******
North Block, New Delhi
18th January, 2019

CORRIGENDUM

Subject: Income-Tax Deduction from Salaries during the Financial Year 2018-19 under Section 192 of the Income-tax Act, 1961 -regarding.

The undersigned is directed to refer to Circular NO.1/2019 dated 1st January, 2019 bearing file of even number on the above mentioned subject and to state that in Annexure-I from Examples from 1 to 8 referred to in pages from 47 to 55, "For Assessment Year 2018-19" may be read as "For Assessment Year 2019-20" .

In Annexure-I in Example 1 referred to in page 47, in Para A against serial No.(ii), "Rs. 5,00,000" may be read as " Rs. 4,00,000".

In Annexure-I from Examples 1 to 10, referred to in pages 47 to 59, a deduction of Rs. 40,000 is allowed as standard deduction u/s 16(ia) of the Incometax Act, 1961. The computation of total income and tax payable thereon will be accordingly modified.

(Sandeep Singh)
Under Secretary to the Govt. of India
Tele/Fax: 23094182
Mail: sandeep.singh68@nic.in

What to watch

The corrections are to the illustrative examples, not to the body of the circular; the law stated in the circular itself is unchanged.
The standard deduction of Rs.40,000 was left out of the printed examples altogether, so a computation copied from the circular as first issued understates the deduction and overstates the tax.
The wrong assessment year in the heading of the examples is easy to carry forward into a working paper - the examples belong to assessment year 2019-20.
The corrigendum must be read with Circular No. 1/2019; on its own it says nothing about the deduction obligation.

Where you meet it

When testing an employer's salary deduction working for the financial year 2018-19 that was built on the examples in the annual circular.

What it names

It mentions. Circular No. 1/2019

On the same provision

Other instruments in this library that name the same provision of the 1961 Act. They are not necessarily still operative, and a later one may have replaced an earlier one without saying so.

Notification No. 02 /2023 — Procedure format and standards for filling an application for grant of certificate under sub rule 4 and its proviso of r 27 September 2023
Circular No. 4/2023 — Clarification regarding deduction of TDS under section 192 read with sub-section (1A) of section 115BAC of the Income-ta 5 April 2023
Circular No. 24/2022 — Government of INDIA 7 December 2022
Circular No. 10/2022 — Circular regarding use of functionality under section 206AB and 206CCA of the income tax act 1961 17 May 2022
Circular No. 4/2022 — Government of INDiA 15 March 2022
Circular No. 11/2021 — Circular regarding use of functionality under Section 206AB and 206CCA of the Income-tax Act, 1961 21 June 2021

← Circular No. 3/2019 · Circular No. 2/2019 →

A circular binds the department, not you and not a court. The Board issues a circular to its own officers. An assessee may hold the department to a circular that helps him; the department cannot hold an assessee to one that hurts him, and the Tribunal and the courts decide the law for themselves.

Source: the Income Tax Department’s own published text — its page for this instrument.