What is Form 10E?
Form 10E is a form to be submitted on Income Tax e-filing portal to claim relief under Section 89 for any salary arrears or advance salary received during a financial year. It gives relief to the taxpayer arising due to the timing difference of the receipt of the income. Tax Rates keep on changing every financial year and therefore the income shall be taxed at the rate applicable when it was earned and not at the rate when it is received. The Form 10E filing procedure is to be carried out on the new e-Filing portal.
Who shall file Form 10E?
An individual has to submit Form 10E if he/she has received the following income during any previous financial year:
- Arrears of Salary
- Family Pension in arrears
- Advance Salary
- Compensation on termination of employment
Form 10E Filing Procedure on e-Filing Portal
Follow the procedure mentioned below to complete the Form 10E filing process
- Login to your account
Login to your e-filing account using valid username and password
- File Income Tax Returns
On your Dashboard, click e-File > Income tax forms > File Income Tax Forms
- Search Form 10E
On the File Income Tax Forms page, select Form 10E. Alternatively, enter Form 10E in the search box to file the form
- Assessment Year
Select the appropriate assessment year and click on continue
- Required Sections
Click on lets get started and you will move to the next page. Select the applicable items regarding particulars of income and click on continue
- Preview details
After entering all the details, click on the preview option
- e-Verify the Form
On the next page, click on the proceed to e-verify option. After successful e-Verification, a success message is displayed along with a Transaction ID and Acknowledgement Receipt Number. An email confirming successful submission of your form is sent to the email ID and mobile number registered with the e-Filing portal
Consequences of not filing Form 10E
- Relief under Section 89 claimed in income tax return will be disallowed by the IT Department
- Receive a notice from IT Department for such non-compliance
Form 10E is required to be filed before filing ITR to claim the relief mentioned in the return.
In case of Form 10E is not filed, relief will be disallowed and you may receive a notice from the Income Tax Department for such non-compliance.
-Open the Income Tax Department Website and Log on using your PAN and Password
-From “E-File” select Income Tax Forms from the menu.
-Select “Form 10E”- Click on Form for Relief u/s 89 from the drop-down menu. Select your relevant Assessment Year and Submission mode.
-Under the Form 10E heading, you can view your details like Name, PAN, Address, etc. Select “Residential Status” from the drop-down menu.
-Select the relevant Annexure.
-Verify the Form. Click on “Review and Submit”.
-You can download the PDF copy. If need be, you can also edit to click on “Edit” to make changes to the form.
Form 10E has to be filed online via the Income Tax Department website. However, Taxpayers who claimed relief in the previous FY but were not able to file the Form 10E receive a notice from the Income Tax Department for non-compliance.