Dear CA Club India Members
i have query regarding my mother(govt bank employee) income tax refund adustment order advice issued by bank to her. Her CA for the AY 2010-11 calculated the taxable salary 246530 of two different branches as net taxable salary because she was transfered to another branch in PY and the basic difference in those branch salary structure is that the one in which she was originally working was not paying any perks but the one in which she was transfered afterwards is paying perks. So the CA in his calculation of salary said Perks are not taxable to your mother. so she got the exemption of that u/s 10 of income tax act
THE PERKS SHE GOT FROM TRANSFERED BRANCH AS IT WAS A RURAL BRANCH WAS Rs.32522.
At the begining of the year my mother paid the TDS in original branch is Rs. 1200 and in transfered branch Rs. 16697 so total TDS she gave is Rs.17897, but at the end of the year she was liable to pay tax of RS. 5823 only
so according to me she should get refund of Rs. 17897-5823= Rs.12074.
so my questions are:-
1. Refund of only Rs 310 was recieved from the department? WHY?
2. After passing of few months she recieved a letter from her employer(bank) stating these lines
"INCOME TAX REFUND ORDER ADVICE" "REFUND ADJUSTED"
DEAR SIR/MADAM
WE HAVE TO ADVISE THAT AS PER INSTRUCTIONS OF INCOME TAX DEPARTMENT, WE HAVE PROCESSED AND ADJUSTED YOUR REUND IN GOVERNMENT A/C AS PER UNDERNOTED DETAILS
WHICH ARE HER PAN NUMBER, ASSESSMENT YEAR, ADJUSTED AMOUNT Rs. 12370, CIN NUMBER, DEMAND YEAR 2009-10, ADJUSTED DATE 12/01/2011
WHAT IS THIS ADVICE ALL ABOUT?
CAclubindia
