---
title: "Discussion on \"Why TDS stays high after a bonus: how Indian payroll engines recalculate salary tax\" | Hashnode"
description: "Discussion on \"Why TDS stays high after a bonus: how Indian payroll engines recalculate salary tax\". A worked example of annual TDS projection, the residual spread over the remaining months, and the edge cases that break naive payroll code."
url: "https://hashnode.com/posts/why-tds-stays-high-after-a-bonus-how-indian-payroll-engines-recalculate-salary-tax/6aea0ea8b6104d273952ced8"
---

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# [Why TDS stays high after a bonus: how Indian payroll engines recalculate salary tax](https://engagehrms.hashnode.dev/why-tds-stays-high-after-a-bonus-how-indian-payroll-engines-recalculate-salary-tax?utm_source=hashnode&utm_medium=feed)

A worked example of annual TDS projection, the residual spread over the remaining months, and the edge cases that break naive payroll code.

6d ago · 7 min read · engagehrms.hashnode.dev  
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-   [#payroll](https://hashnode.com/tag/payroll)
-   [#tds](https://hashnode.com/tag/tds)
-   [#india](https://hashnode.com/tag/india)
-   [#compliance](https://hashnode.com/tag/compliance)
-   [#engineering](https://hashnode.com/tag/engineering)

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@engagehrms · Gurugram, India

  
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