ITR1 file SOS help

Dear CAs/Tax Experts

morning all ,

for FY 24-25 , I have salary + severance pay (due to layoff /VRS ) + FD income ( gratuity + leave encash are extempted).

surprisngly The incometax portal calculates some 10.5 Lacs tax even after 5 lacs exemption u/s 10(10C ) for termination severance package although 9 lacs TDS has been already deducated by employer .

even u/s 89 ( form 10E ) I'm not able to get rid of entire 10.5 lacs . which is beyond my imagination & capacity to pay . 

This is a disstress call /post to get urgent help Re: filing ITR1  . going thru a extremely difficult time and I don't have enough money now to pay your fees now ( if anyone needs ) but will pay postively once situation improves at my end . If some kind hearted CA/tax consultant reading this , please help me if it's feasible at your end , I need help urgently to fill up form 10E effectively get rid of this 10.5 lacs

Best Regards

 

Replies (2)
Quick Summary
This user is seeking urgent assistance with filing their Income Tax Return (ITR1) for FY 24-25. They have salary, severance pay (due to layoff/VRS), and FD income, and are surprised by a calculated tax of 10.5 lakhs, even after the 5 lakh exemption under Section 10(10C) for their severance package. Despite TDS deduction and attempts to use Section 89 relief via Form 10E, they are unable to reduce the tax liability to a manageable level and are in financial distress. They are appealing for help from CAs or tax experts, offering to pay fees once their situation improves.

Section 10(10C) Exemption:

This section provides an exemption for certain payments on termination of service, upto five lakhs.

SEction 89 Relief: Section 89 allows relief for arrears or advance salary payments causing hardship due to higher tax incidence. Filing Form 10E is necessary to claim this relief. 

Form 10E for Relief:- Form 10E is used to claim relief under Section 89 for tax on severance pay. Properly filing this form can help in adjusting the tax liability considering the exemptionand actual tax incidence. 

You should consult a tax professional to ensure accurate filing of Form 10E to claim relief under Section 89.

Verify calculations considering the exemption under Section 10(10C) and potential relief under Section 89. 

Thanks Rama Ji 

Thanks, I appreciate your suggestion and aware about these IT sections , just need help to fill up 10E carefully to get rid of 10.5 lacs of tax BUT unfortunately I dont have enough to afford a tax consultant now , if you know someone who can help me , kindly suggest, it would be a great help , I can pay him/her later when my situation improves .

Best Regards

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