7th pay commission latest news: Central and other Government employees receiving salary arrears can claim tax relief on arrears under Section 89. Know how
7th pay commission latest news: Central and other Government employees receiving their salaries as per the 7th Pay Commission can claim tax relief on arrears under Section 89. However, they need to file Form 10E on the e-filing website to claim such relief.
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According to experts at Taxmann, if you want to claim relief under Section 89, filing of Form 10E online on the e-filing website of the Income Tax Department is mandatory. You should file Form 10E before filing ITR to claim tax relief.
“Taxpayers who claim relief under Section 89 without filing Form 10E will get a notice from the Income-tax Dept stating that ‘The relief under Section 89 has not been allowed in your case, as the online form 10E has not been filed’. Thus you are required to file Form 10E online before filing your Income-tax Return,” experts say.
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“If the employer fails to provide relief under section 89 and deducts excess tax, then you can claim such relief in your return of income and claim a refund of the excess tax deducted. However, it is mandatory to file Form 10E online on the e-filing website,” they add.
Steps to file Form 10E online
Following are some steps you can follow to file Form 10E online before filing ITR.
Step 1: Log in to the e-filing portal at http://www.incometax.gov.in
Step 2: After logging in, click on tax e-file>Income Tax Forms> File Income Tax Forms. On the landing page, select the option which says “Tax Exemptions and Reliefs Form 10E”. You may also enter Form 10E in the search box to reach this option.
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Step 4: After selecting the above option, choose the Assessment Year (A.Y.) and click continue. This will take you to the Instructions page where you should click on “Let’s Get Started”.
Step 5: Now choose the required sections to be filled and click continue. The applicable items regarding particulars of income are a) Arrears Salary/Family Pension, b) Advance Salary, c) Gratuity, d) Compensation, and e) Pension Commutation. Select the first option saying “Arrears Salary/Family pension” if you are claiming relief for salary arrears.
Step 6: After providing all details, click Preview. After going through the Preview, click on Proceed to e-Verify. You will be taken to the e-Verify page. Once you complete the e-verification, you will see a message saying “Submitted Successfully”.
