Relief under Section 89 (arrears)
The tax relief when you receive salary arrears or advance in a lump sum — file Form 10E to claim it.
Switch calculator — current: Relief under Section 89 (arrears)
Your details
Tax on your income including all the arrears this year.
Sum of each year's tax after adding its share of the arrears.
Your answer
₹ —
Still needed: the two tax figures.
- The figure, and how it compares where there is a choice
- Every step of the working, line by line
- The exact sections, with links to read them
For guidance only — not tax advice. Every figure is drawn from BharatX’s verified rule book, with the sections and rules shown alongside it.
Relief under Section 89 (arrears): how it works and FAQs
FY 2025-26 (Income-tax Act 1961) and FY 2026-27 (Income-tax Act 2025) · Updated
How it works
Section 89 gives relief when you receive salary arrears or advance in one lump sum, which could push you into a higher slab.
Section 89 gives relief when you receive salary arrears or advance in one lump sum, which could push you into a higher slab. The relief is the extra tax caused by the lump sum: the tax taxing it all in the year of receipt, minus the tax if it were spread back to the years it relates to. You must file Form 10E before claiming it.
- Work out your tax this year including all the arrears.
- Work out the tax if each year’s share of the arrears had been taxed in that year instead.
- Relief = the first figure − the second (never below zero).
Worked example
Relief under section 89 = ₹15,000.
Tax with all arrears in this year ₹50,000; tax if they were spread back ₹35,000.
- Relief = 50,000 − 35,000.
Relief under section 89 = ₹15,000.
Frequently asked questions
Do I need to file anything to claim relief?
Yes — Form 10E must be filed on the e-filing portal before you file your return, or the relief can be denied.
How do I get the two tax figures?
Use the income-tax calculator to compute each year’s tax with and without its share of the arrears, then enter the totals here.
Every figure the calculator shows lists the sections it relies on under “Legal basis”. For guidance only — not tax advice.