California Governor Jerry Brown signed Assembly Bill 168 into law in October of 2017. The new law goes into effect on January 1, 2018. Assembly Bill 168 prohibits California employers from asking about an applicant’s prior salary. If an applicant asks, employers are also required to provide a pay range for the job.
Do you have to disclose current salary to new employer?
You are under no obligation to tell a prospective employer your current salary. Say that you’d rather not disclose your current salary, as you would like to have a fair negotiation based on your skills and what you have to offer the company.
What to do when you switch jobs at end of year?
After the end of the tax year, new employer would issue a consolidated Form 16 including the previous employment Salary and TDS details. You can file your tax return based on the Form 16 issued by the new employer, but ensure that your previous employment details are reflected appropriately in the tax return.
Why do I have to pay additional tax when I switch jobs?
The reason for additional tax liability could be due to the basic exemption limit of Rs 2,50,000 considered by both the employers. Also, both the employers would have considered the lower tax slabs while calculating the tax liability.
Do you have to pay self assessment when you switch jobs?
In case you have not furnished your previous employment details to the new employer, you need to consider both the Form 16s for preparing and filing your tax return. You might end up paying Self-Assessment tax if the exemption limit has been considered by both your previous employer as well as the new employer.
What happens if you change job in middle of year?
If so, apart from other things related to your career, you also need to consider the tax impact on changing the job. If you change a job during the year and do not inform your new employer about the previous income, there will be additional tax liability. By Sreenivasulu Reddy, Senior Tax Professional, People Advisory Services, EY India
