Sir,
My company is offering SVRS for specific categories of employees with a aim to reduce staff and expenditure on staff. Compensation offered is 1.5 salary for every completed year or balaance month salary, whichever is lesser.
As per IT rule, Compensation upto Rs. 5,00,000/- is fully exempted, if the SVRS scheme is as per IT guidelines and main condition is, this scheme should be open to all employees.
As scheme is open for selecteed categories only, my company has decided to deduct TDS. This will result into loss of 50,000 to 1,50,000 Rs. depending upon IT slab.
Our HR Dept. still hold that, as main aim of SVRS scheme is to reduce staff only, we can claim exemption and there is no need to deduct TDS also. But Finance Dept. is not ready to do so.
What i want to know is ,
1) As SVRS scheme's main aim is to reduce staff only, is there any clause that will consider exemption.
2) Is there any chance to get back TDS deducted by filling return ?
Thanks !