MANAGEMENT

Detailed explanation-1: -Net salary, also known as take-home salary, is the amount of money that you will receive after all deductions. The deductions are made from the CTC and include things like income tax, Professional tax, Public Provident Fund (PPF), etc. Net salary is usually lower than the gross salary.

Detailed explanation-2: -Income Tax, in this case, is deducted at source by the employer and is based on the gross pay of the employee. Also, basic salary of an employee should be at least 50%-60% of his/her gross salary.

Detailed explanation-3: -Net salary is the amount of money calculated after tax deduction and other deductions like Public Provident Fund, Professional Tax, etc. Individuals with a salary up to Rs. 5, 00, 000/-p.a. are not required to pay any taxes, as they get rebates under section 87A up to Rs. 12, 500/-.

Detailed explanation-4: -The gross salary is the difference between the CTC and the sum of the gratuity and the EPF contribution. The net salary is the difference between the gross salary and all the deductions therefrom.

Detailed explanation-5: -Gross salary is the amount received by an employee without any tax deductions. Net salary is the amount that an individual receives after all deductions have been taken out. Gross salary = Basic salary + HRA + Other allowances. Net salary = Gross salary – Income tax – Provident Fund – Professional tax.