is relief under section 89 is allowed in respect of arrears of salaries only wen the arrears of salary is not taxed on due basis????i think wen only wen not taxed not on due basis..is it right
R.V.Raman
(Article Clerk)
(73 Points)
Replied 20 January 2010
Question -------- Little bit Confusing
swajitha
(ca..final)
(68 Points)
Replied 20 January 2010
fyn...can u just explain relief under section 89..wen can we claim with respect to arrears of salary
Bimal Thacker
(Proprietor)
(762 Points)
Replied 20 January 2010
If salary has already taxed on due basis then question of relief under section 89 does not arise again.
Relief under section 89 is for arrears of salary received - suppose for last 2 to 4 years arrears received due to wage revision in current year then in current year may tax liability is high then the year for which it relates. Section 89 is for that.
Bimal Thacker
(Proprietor)
(762 Points)
Replied 20 January 2010
If salary has already taxed on due basis then question of relief under section 89 does not arise again.
Relief under section 89 is for arrears of salary received - suppose for last 2 to 4 years arrears received due to wage revision in current year then in current year may tax liability is high then the year for which it relates. Section 89 is for that.
manish
(Article Assitant)
(358 Points)
Replied 20 January 2010
Sec 89 will be applicable when the salary received on the basis of retrospective effect.