Unable to file IT return for A.Y. 21-22

This query is : Open

Ramesh Mehta (Querist)
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24 July 2021 I am pensioner from UIICLtd. In FY19/20 I was paid pension for 13 months due to corona disturbances and I paid I tax on 13 months pension as per advise of tax consultant. In FY 20/21 payment of pension is for 11 months. When I T return filing for FY 20/21 is attempted providing 11 months' pension as received in FY 20/21 it is not accepted by e tax filing portal with message that pension is less than form 16 shown on 26AS..Form 16 for F.Y. 19/20&20/21 both are issued for 12 months on accrual base by pension paying authority viz. LIC, whereas I am paying tax on receipts base as income is taxable on accrued or paid base whichever is earlier. I don't want to pay tax twice on pension for March 20 accrued on 01/04/20 but paid on31/03/20. I may kindly be advised/guided. Thanks with regards. Ramesh

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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24 July 2021 You have to file ITR as per form 16 only. You were wrongly advised to pay tax for 13 months last year.

Ramesh Mehta

Ramesh Mehta (Querist)
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24 July 2021 Thanks. Kindly note form 16 for FY19/20 was received late due to change in address and by the time I received form , tax was paid, return filed. I would request way out. For many years I paid tax according to actual receipt of pension amount eventhough 26 AS were not updated by pension paying authority.

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CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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24 July 2021 File rectification under section 154 based on form 16 and claim refund. It's only my suggestion see it's successful or not.

Ramesh Mehta

Ramesh Mehta (Querist)
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24 July 2021 OK thanks. Tax payment for FY 19/20 on principle of tax payable on income due or received whichever is earlier is 100%as per law and claiming refund according to me is not warranted. I have doubt if refund will allow by I.Tax department in violation of own rules. I may inform that I have registered my grievance on e filing portal and await their response. Thanks.

K Srinivas, CMA CS

K Srinivas, CMA CS (Expert)
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24 July 2021 Seetharaman Sir,
Will claiming under section 89 possible in this case given that the assessee has received the pension in advance last year? Please advise

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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24 July 2021 Now it's not possible to claim 89 relief, revised return filing time over.

CA PARTH SHAH

CA PARTH SHAH (Expert)
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26 July 2021 File rectification request for FY. 19-20 and mention cpc that you have disclosed income from pension for 13 months in FY 19-20 and also paid tax on 13 month Pension in FY 19-20.

For FY 20-21, show income for 11 months in ITR and claim tds for 11 months only. In case of demand raised in 143(1) order for FY 20-21, give same explaination that you have paid tax on 1 month Pension in FY 19-20 only.

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