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rajiv kumar (UDC)     02 November 2013

Arrier on da

sir,

 

i am a govt employee and i want to know i have received the arrier of DA for FY 2013 for the moths july to oct.13 could u please tell me the arrears i have received in the form DA is taxable or not if such da is taxable how much tax is charged on arrears and how much of previous month of arrears of da  is calculated (my basic 10790+3800=14590 da increased from 72% to 80%= 8% increased govt paid 4 month cash for july to sept, 13 and from junary to june, 13 is pending according to punjab govt policy).

 

Regards

rajiv



Learning

 7 Replies

Sudhir Kumar, Advocate (Advocate)     02 November 2013

not a legal query a query on the procedure.  You are not the first Govt servant receiving arears of DA. All know it is taxable and included in wages.

Sudhir Kumar, Advocate (Advocate)     02 November 2013

repeated

 

https://www.lawyersclubindia.com/forum/Arreares-on-da-91470.asp#.UnUV91PQzmk

C. P. CHUGH (Practicing Lawyer)     06 November 2013

It is taxable. Calculation of tax to be deducted is not your problem, unless you happen to be ddo also, other wise your ddo should be wise enough to calculate and deduct tax according to law.

R RAJAGOPALAN (ADVOCATE)     07 November 2013

YOUR QUERY: i am a govt employee and i want to know i have received the arrier of DA for FY 2013 for the moths july to oct.13 could u please tell me the arrears i have received in the form DA is taxable or not if such da is taxable how much tax is charged on arrears and how much of previous month of arrears of da  is calculated (my basic 10790+3800=14590 da increased from 72% to 80%= 8% increased govt paid 4 month cash for july to sept, 13 and from junary to june, 13 is pending according to punjab govt policy).

REPLY: Arrear DA received is part of salary and taxable.

In your case,  the arrears received entirely relate to the current Financial Year only (for the months from July2013 to October 2013).

Therefore you cannot claim any relief under Section 89(1)- spreading over to several years..

C. P. CHUGH (Practicing Lawyer)     13 November 2013

Agreed with R Rajagopalan who has beautifully explained it.

Sudhir Kumar, Advocate (Advocate)     13 November 2013

some LDC/UDC in cash section of your deptt can guide

sreekanth (Assistant Manager- Taxation)     12 December 2013

All the Arrears Received by You, are Taxable in the Year of "Receipt".

Fill & Submit , the details in Form   10E  , To your Employer.. Then your Tax will Get reduced.

You can get Form 10E , on this Link:https://www.exploreincometax.com/Forms-related-to-Indian-Income-tax/Form-10E

Submitting Form 10E, Means you are Claiming "Relief" Under Section 89 Of Income Tax Act, (Read with Rule 21A and Rule 21AA.)

Just for additional Reference giving the Links of above

section 89 can be read on this Link:https://www.exploreincometax.com/Indian-Income-tax-Act-1961/Section-89

Rule 21A --  https://www.exploreincometax.com/Rules-under-Indian-Income-tax-Act-1961/Rule-21A

Rule 21AA - https://www.exploreincometax.com/Rules-under-Indian-Income-tax-Act-1961/Rule-21AA

If You Submit the Above Form 10E, Your Employer is Bound to Give Relief under section 89 of Income Tax Act.

 


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