Tax in arrears

This query is : Resolved

sangita (Querist)
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02 January 2011 hello friends,,
my client has received arrears in salary in FY 2010-11 pertaining to FY 2007-08 TILL FY 2009-2010. My client had invested Rs 150000/- in FY 2007-08..while the qualifying limit was Rs 1,00,ooo/.
My query is whether excess investment of Rs 50,000/- can be adjusted in the future years.
Can we claim any relief under I T Act, 1961. ????
Pl reply..
thnks in anticipation....
regds

CA Shailesh Kumar Bhagat

CA Shailesh Kumar Bhagat (Expert)
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03 January 2011 No excess amount of investment cannot be adjusted.

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Sanjay Kumar Sah

Sanjay Kumar Sah (Expert)
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03 January 2011 Dear Sangita,

You must be knowing that the 80C deduction is restricted to a certain amount(i.e., 100,000/-) in all cases. I mean, even if you have invested more than one lac in eligible investment options, your deduction will be restricted to one lac only. And this deduction benefit is given on year to year basis. There is no concept of carry forward for excess investments in Income Tat Act'1961.

Hence, those excess investment of Rs. 50,000 cannot be claimed further in any future years.
I hope your doubt is clear...

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sachin

sachin (Expert)
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03 January 2011 agreed with experts.

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