Can i claim refund of TDS on recovery of negative leave

TDS 231 views 6 replies

I resigned from a private organisation in FY 17-18.

Total leave balance while leaving company was -60days of which previous employer waived off 50%.

Total recoverable amount towards leave balance recovery was 179200/- of which 89600/- was recovered from Full & Final settlement in FY 17-18.

As per my understanding recovery of 89,600/- is against excess salary paid to employee during his/her tenure at company.

TDS was deducted on this total amount of 1,79,200/-  as and when excess salary was paid to me and now 89,,600/ have been recovered.

Can I claim refund of TDS on recovery of 89,600/- done towards negative leave balance as I have already paid taxed on this amount in FY 17-18.

Can someone help me on process to claim refund of this excess TDS.

 

 

Replies (6)

Have you got TDS credit if tds deducted in fy 2017-18?

No I have not got TDS credit in FY 2017-18.

You discuss the whole issue with your employer. Just you are writing as per your understanding and actual you are also not certain.

TDS you will be claim only as per 26AS which is based on salary return filed by your employer.
Yes you can claim refund as per recent court judgement

Can you point me to court judgement?

Is there any circular from Income Tax department that refers to recovery of excess salary and TDS applicability for same.

 

 

1. If it is shown as a part of your salary in form 16 then claiming TDS is not possible. Since salary have no concept such as salary returned. 
2. If you are not even in the receipt of such salary then claiming of TDS is possible. If you are not in receipt of this Rs.89600 amount the same can be rectified by approaching the concerned AO and point out your claim clearly. 
Please correct me if the above solution has an alternative view. 


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