Excel Form 10E-Salary Arrears Relief calculator AY 2024-25 (FY 2023-24) for claiming rebate under section 89(1) of Income Tax Act 1961-Download

As per section 89(1) of the Income Tax Act, 1961 relief for income tax has been provided when in a financial year an employee receives salary in arrears or advance. As per Rule 21AA of the Income Tax Rules, 1962, Form 10-E  has been prescribed for claiming the relief.

According to the said rule, in case the employee is a Government servant or is an employee in a company, cooperative society, local authority, university, institution or association of body, he/she may for claiming the relief submit the form 10E to his/her employer who is responsible for making the payment of the salary as referred to in sub section (1) of section 192 of the Income Tax Act, 1961.

The steps involved in computing the relief under section 89(1) basically involves the following steps:

First- spread out the amount of arrears or advance received over the specific financial year to which they relate and re-calculate the income tax for each year had the arrears been received during the concerned financial year itself.

Second-calculate income tax for each of the financial years without taking into account the arrears or the advance received.

Third- deduct the total of income tax arrived at 2^nd step from step-1.

Fourth-calculate income tax for the Financial year in which the arrears is received, including the arrears/advance received.

Fifth- calculate income tax for the Financial year in which the arrears is received, excluding the arrears/advance received.

Sixth- deduct income tax arrived at step-5 from  income tax arrived at step-4

Seventh- deduct income tax arrived at step-3 from income tax arrived at step-6

The figure so arrived is the amount of the relief under section 89(1)

Please note that this excel utility is for helping you to compute the relief and the details thereof are required to be filled online electronicaly.

Answer is not as i ask for

I have done all the process except calculate on gross salary.