One of my client is working in Indian Judiciary and she got an order for payment of arrear salary of 723999 through revision of her pay scale from 01.01.2006 to 30.06.2010. As per order out of 723999, 30% of the arrear i.e 217200 was received by her during the financial year 2010-11 and another 30% of the arrear will be claimed during the financial year 2011-12 and the balance 40% was deposited in GPF after deducting Income Tax of 94800. My doubt is
a) Whether she is eligible to claim Relief u/s 89(1)
b) If yes, for what amount i.e whether for total sum of 723999 has to include in the respective previous financial years or the part amount i.e 30% and 40% which was received during the year including amount deposited in GPF.
c) Please suggest me what we have to do the amount going to receive in the next financial years. What is the implication of tax during that year?
d) Is it possible to her to claim 94800 as TDS during the current financial year agains her tax payable?
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