Calculation of health and education cess

While reviewing the tax computation I see that Health & Education cess 4% is again added even though I can see in my form 16 that this amount is already paid. So why quicko show that I have to pay it again.

I can see that the TDS already includes tax on total income + health and education cess. So why does quicko asks to pay it again. Doesn’t make any sense.

I have the same concern. I had to pay health and education cess again when it is already paid as per Form 16. Please clarify ASAP.

@Muskan_Balar , kindly help here

Hi @ayushman @a4amann

Your Form 16 does not have health and education Cess deducted, the TDS calculated in form 16 is estimated based on your total tax liability.
The Education Cess is calculated on your gross tax payable amount without considering the amount paid as TDS in your total tax liability. ​

The amount shown in Quicko’s Tax Computation is correctly calculated and your taxes paid (TDS, TCS, Advance Tax & Self Assessment tax) are deducted from your total tax payable. You may check in the the Tax Computation table, 24th point.

Hope this helps

Hi @Muskan_Balar ,

Thanks for your response. However, please help me understand the following section. Point (17) clearly mentions that total tax payable already included point (16) i.e. health and education cess and it was deducted from my salary. While filing ITR then why did I have to pay almost the same amount under the same header again?

If what you are saying is correct and if I understand you correctly, then this CESS should not have been deducted by my employer and should have been left to be charged while filing ITR. Kindly explain it to me once more.


Hi, @ayushman

The total tax payable includes tax as per slab, surcharge(if applicable), health & education cess. Your form 16 does not deduct the same, it calculates to estimate the total tax payable to understand your tax liability so your employer can deduct TDS accordingly. Once the TDS is deducted you get credit for the same for eg : TDS deducted till now is Rs.5000 and your total tax payable is Rs. 6000 you will have to pay Rs.1000 as self assessment tax.

Hope this clarifies your query.

@Muskan_Balar : Can you please explain the same, for me too its already deducted from Fom16 again it will deducting while filing of 4%… I have two form16’s. From one Form16 it is under tax slab so deducted and in another Fom16 its deducted 18K as pet taxable income. but, while filing its again 4% while filing of 20K. can you please explain

@Shrutika_Shah : please have a look and resolve ASAP please

Hi @Rocky_Kota

Form 16 contains the details of your tax liability on your estimated salary income. If you have paid the TDS already you can claim the same while filing your ITR and hence reduce your tax liability.

While filing your ITR the cess is calculated on your total taxable income, hence you will be paying the differential amount of tax only.

Hope this helps.