Here is an individual assessee senior citizen aged 89 y.o. He has received Pension arrears of Rs.291125 pertaining to F.Y 2013-14.
As you can see in the merged image below of "10E FORM" a TDS of Rs.17018 [as shown in 26AS] was deducted on FD's Interest income in F.Y. 2013-14.
He didn't filed ITR for A.Y. 2014-15, as a result such TDS amount is with IT Dept.
In form 10E :-
2) Total income of the previous year is = 170180
3) Arrears received 291125
4) [Previous year 2)+ arrears 3)] = 461305
5) Tax on Total income of previous year (2) = Rs. 0
⁉️Now the question is for column no. (6)
🤖The system is calculating tax as Rs. 19,704
🧠But if we take TDS in account and subtract it by 17018, tax is reduced to Rs.2686.
Out of these two options which one is correct & why do you think so ? Any reference with regards to particular section & rules which justify such reasoning & answer ? Kindly enlighten this case.
CAclubindia
