No TDS deductible on Tips received by Hotel Staff

Since TIPS were received from the customers and not from the employer these would be chargeable in the hands of the employee as income from other sources and section 192 would not get attracted on the facts of the case.

On analysis of section 15 that it would be evident that for the said section to apply there should be a vested right in an employee to claim any salary from an employer or former employer whether due or not if paid; or paid or allowed, though not due.

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