89 relief under income tax act

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CA. NAGAM DEVI KUMAR (Querist)
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10 June 2014 Dear Sir
My basic question with regard to 89 relief, should it be rate difference for claiming relief. In my case the current year as well as previous years, he is in higher slab i.e 30% but because of arithmetical calculations he is getting relief. but basic reading of the section is, income is assessed at a rate higher than that at which it would otherwise have been assessed.
please also clarify, 80CCC can be claimed or not, on receipt of arrears.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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10 June 2014 the effect is because of the average tax rates. so the relief as per arithmetical calculations is the right amount

chapter VI deductions shall be available against whatever income is being offered to tax in current year. rebate under section 89 wont undermine that claim