MY HUSBAND IS WORKING IN LIC OF INDIA. HE HAS GOT HIS ARREARS SALARY FOR 3 YEARS IN THIS YEAR. CAN HE GIVE FORM 10E TO HIS EMPLOYER AND GET RELIEF U/S 89 WHILE DEDUCTING TDS ITSELF. AS YOU KNOW LIC IS A CORPORATION AND IS FULLY OWNED BY THE GOVERNMENT OF INDIA. SO PLEASE TELL ME WHETHER HIS BRANCH MANAGER HAS THE RIGHT TO GIVE THE EMPLOYEES RELIEF U/S 89.
19 October 2010
Section 192(2A)of the Income tax Act,1961 is not applicable to an employee of LIC of India meaning thereby section 89(1) relief need not be considered by LIC of india while deducting income tax from the salary of their employees.
To my knowledge, Section 89 relief is availble for arrears of salary. Idea of this section is not to punish assessee with extra tax because difference in time of receipt of that arrears. I need to check on 192(2a) & get back to you. Otherwise normally he can claim relief even at the time of filing of tax returns
CAclubindia
