[FAQs] Income Tax Returns (ITR) | Deductions & Rebates

If you want to claim relief under 89, filing of Form 10E online on the e-filing website is mandatory. Taxpayers who claim relief under Section 89 without filing Form 10E will get a notice from Income-tax Dept. stating that

“The relief under Section 89 has not been allowed in your case, as the online form 10E has not been filed”.

Thus, you are required to file Form 10E online before filing your Income-tax return.

If the employer fails to provide relief under section 89 and deducts excess tax, then you can claim such relief in your return of income and claim a refund of excess tax deducted. However, it is mandatory to file Form 10E online on the e-filing website.

Form 10E can be filed online in the following steps:

Step 1: Login to www.incometax.gov.in.

Step 2: After you log in, click on tab e-File > Income Tax Forms> File Income Tax Forms. On the landing page, select the following options:

(Read More: How to file Form 10E online? on taxmann.com/practice)

Even if exemption of House Rent Allowance under Section 10(13A) and deductions under Chapter VI-A are not considered by the employer in Form 16, they can be claimed in the Income-tax return. Accordingly, the excess tax deducted by the employer can be claimed as a refund.

Section 80GG explicitly denies the deduction to the assessee having any income falling under section 10(13A) (House Rent Allowance). Since your salary structure contains an HRA component, you are not eligible for claiming deduction under section 80GG.

To claim a deduction under section 80G, the taxpayer must provide the details of their donations in ‘Schedule 80G’ in the ITR form as applicable to them. This schedule consists of four tables, i.e., Table A, B, C, and D. Each of which corresponds to a different category of NGO/charitable institution. One must ensure that donation information is entered in the correct table.

While filling the table, a taxpayer will be required to provide the following details of their donations to charitable institutions or specified funds during the year:

• Name and address of the donee
• PAN of the donee
• Total amount of the donation – with a break-up of the amount paid in cash and other modes
• Eligible amount of the donation, which is the amount that is eligible for deduction

In the ITR forms for the Assessment Year 2023-24, a new column has been added to ‘Table D’. This column requires disclosure of the ARN (Donation Reference Number) for donations made to entities where a 50% deduction is allowed, subject to the qualifying limit. The ARN should be obtained from the donation certificate issued in Form 10BE by the donee institutions and should be mentioned in the ITR.

In addition to providing the necessary information in ‘Schedule 80G’, it is also essential to separately mention the total amount of deduction claimed under Section 80G in Schedule VI-A if you are filing a return of income in form ITR-2 or ITR-3

If the annual rent paid by the employee exceeds Rs. 100,000 per annum, it is mandatory for the employee to report the PAN of the landlord to the employer. In case the landlord does not have a PAN, a declaration to this effect from the landlord with the name and address of the landlord should be filed by the employee.