Arrear salary

Shivani Mittal (Practice)     20 February 2016

Arrear Salaray means salary accured earlier but received now. Nature of deduction from such salary, reason for arrears and financial year to which such arrears pertains will be the deciding factors for allowance of such deduction.

Lalit (Bikaner)     20 February 2016

A Govt. employee receive arrear salary and department deducted gpf and others from his arrear salary.

Now these deduction are allowable from current year income or the income of the previous year from which they are belongs.

Shivani Mittal (Practice)     22 February 2016

In my opinion it should form a part of this years taxable salary and accordingly deductions from such salary also form a part of this year's taxable income eligible for deduction u/s 80C. Further relief u/s 89 can be claimed wrt to arrears.