Tax on accrues salary

For the current FY salary is not received for 3 months from Jan-Mar 2017, it will be paid in next FY. As per rule, tax needs to be paid in accrual basis so should one add the unpaid salary to current year income and pay taxes accordingly or better to add this income in next year whn it will be actually received as TDS will also be deducted and then in next years ITR, claim section 89 relief? Please advice. 

Replies (3)
Originally posted by : Udgam Koomar
For the current FY salary is not received for 3 months from Jan-Mar 2017, it will be paid in next FY. As per rule, tax needs to be paid in accrual basis so should one add the unpaid salary to current year income and pay taxes accordingly or better to add this income in next year whn it will be actually received as TDS will also be deducted and then in next years ITR, claim section 89 relief? Please advice. 

 

It should be offered to tax as per TDS deduction. Follow 26AS.

Salary is taxed receipt basis, not on accrual basis. So declare as income only when you receive it

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 01 October 2026
Articled Assistant

KPSN & Associates LLP

Chennai

CA Inter

View Details
Company
16 October 2026
CA article trainee

Zerdi & Co. Chartered Accountants

Pune

CA Inter

View Details
Company
ARTICLESHIP 17 October 2026
Articled Assistant

RRPM & Associates LLP

Chennai

CA Inter

View Details
Company
ARTICLESHIP 21 September 2026
CA Article Assistant

KK & Company Chartered Accountant

Pune

CA Inter

View Details
Company
ARTICLESHIP 07 October 2026
Article Trainee/ CMA Trainee

RMA And Associates LLP

New Delhi

CA Inter

View Details
Company
19 October 2026
Accountants/Articles (Freshers/Experienced)

ADY & CO.

New Delhi

Graduate (Any)

View Details
Company
ARTICLESHIP 08 October 2026
ARTICLE TRAINEE

S.B.G. & CO. CHARTERED ACCOUNTANTS

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 07 October 2026
Article assistant

S.K.Bajpai & Co.

Noida

B.Com

View Details