How to claim tax refund on salary not paid

@ Vikas Rawat

Has the Form-16 [from your employer] indicated the TDS dedduction amount, and the acutual salary credited to your bank? And 26AS is showing the same?

That is the information available to the Income tax Department about you [under your PAN] .

If those info available, you accordingly fill your IT Return.

Regarding 25% salary still to receive, chase it with the Employer, I-T Dept does not have anything to do with it.

Arrears may be paid later on.

Yes that is the problem ,form 16 by employer is showing the higher salary and not the actual amount credited to bank . If we fill the tax on higher amount without actually receiving isnt it a loss. Also not all people may contniue job to receive arrears.  

Will it not be good to declare lower income now and fill lower tax and pay tax on remaining amount only when it is credited to bank account . 

@ Vikas Rawat

As I already explained, I-T Dept is least bothered about your employer having not paid you what they reported to the I-T in TDS filing.

So if you write the lower (actually received) income amount in ITR, you may end up getting a notice for reporting a lower income.

That is the sad situation.

Match your ITR with Form 16. Else you will get a query later to explain the discrepancy.
+ any other income you have
At the end whatever value comes, get either refund or pay tax.

@ Vikas

Just imagine condition of the Baiju employees, whose TDS was not deposited to the Government by the employer (Baiju) and all have got notice from the I-T Department to pay the TDS amount with penalty. 

I-T Department not sending the notice to Baiju to recover the non deposited TDS.

You are in a better situation.

A salary TDS credit does not, by itself, establish that the unpaid 25% can be claimed as a refund. Salary is generally taxable when due or received, whichever is earlier. If the full salary became due and was credited to the employee’s account in the employer’s books, it may be taxable even though it was not transferred to the bank; later non-payment does not automatically reverse the tax or create a refund.

Check the payslips, Form 16, Form 26AS/AIS and the employer’s payroll records to confirm whether the unpaid 25% was actually accrued/credited as salary or merely reported and deducted for TDS. If it was not due or credited, request the employer to correct its payroll/TDS reporting and issue revised Form 16; claim only the TDS correctly reflected and allowable in the return. If it was due, report the taxable salary and TDS as supported by records. A refund arises only if total tax paid/credited exceeds tax payable—not simply because part of the salary remains unpaid.

Reconciling payroll, Form 16 and bank credits is central to handling this issue correctly. Manual salary and TDS checks are difficult, and automation can reduce repetitive work while professional judgment remains in control. At Jir AI, our 2,000+ AI agents and 650+ integrations streamline GST, ITR, TDS, TCS and other compliance workflows, helping reduce manual workload by up to 70%. For a smoother compliance workflow, connect with us on WhatsApp: https://wa.me/message/3HVOZ7HIY4ESC1