Hi Friends,
One of my relatives is a Lecturer in a Junior College, which is grantable. The 6th pay was applied by the Govt & accordingly the salary hike was given to her. But the Arrears of the same was credited to the the Provident Fund Balance (i.e the same was increased in the provident fund account ). Now i want to know whether the relief under section 89 would be applicable or not? Whether the direct increase in the fund balance is to be taken as the deduction under section 80C? The from no 16 given to her clearly depicts that the amount so received is credited to the PF & the saem is shoen as a deduction under 80C.The Figures are: Txble income Rs402718 (net of all deduction other that Chapter VI Deduction ), PF Rs 62648 including Rs 38648 as arrears of salary, Insurance Rs43572. Please help me on the same as to whether the dedcution under chapter VI as well as relief under 89 could be claimed at a time? else how should it be claimed
CAclubindia
