Relief u/s.89 of income tax act for arrears salary received

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Jalpa Bhadrecha (Querist)

14 September 2012 Assessee is Govt. High School teacher(woman) and Arrears of Salary received in current year F.Y.2012-13 of Rs.82000 of F.y.2011-12. Total Income Taxable in F.Y.11-12-186000 Rs.
Total income of F.Y.2012-13 would be-294000 plus arrears of salary.
My Question is that would the assessee be eligible for relief u/s 89? as slab rate is being changed due to arrears and she couldnt avail exemption limit of F.Y.2011-12. how much she get relief?
Jalpa Bhdrecha

Amol S Joglekar

Amol S Joglekar (Expert)

14 September 2012 she can very well apply for the relief under section 89(1) Let her fill the form 10E. Let me know if you have any problem in this regard.... amolshankar@gmail.com

Jalpa Bhadrecha

Jalpa Bhadrecha (Querist)

15 September 2012 Thanx sir.. But i dont know perfect provision for calculation of relief u/s 89.
Pls guide me....

Amol S Joglekar

Amol S Joglekar (Expert)

15 September 2012 The procedure is very easy. Do not go by the ready recknor method. Make a columner statement having 2 columns of the years. Put the income corresponding to that year. Deduct the arrears pertaining to earlier year from the current year. Add the saem amount in the earlier years. Compute the tax liability. See which one is benefitial 'bifurcating arrears or non bifurcating"

Jalpa Bhadrecha

Jalpa Bhadrecha (Querist)

21 September 2012 I got it Thank you sir.

jalpa bhadrecha

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