Tds

The employee has to submit 89 (1) relief computation while deducting TDS with submission of Form 10E. It is the duty of the employee to submit form 10E and get the relief of section 89(1) at the time of filing of Income tax return.

The relevant CBDT Circular typically provides as under:

Under section 192(2A) where the assessee, being a Government servant or an employee in a company, co-operative society, local authority, university, institution, association or body is entitled to the relief under Section 89(1), he may furnish to the employer, such particulars in Form No. 10E duly verified by him, and thereupon the employer,  shall compute the relief on the basis of such particulars and take the same into account in making the TDS.

Therefore, it is the duty of employer to give arrear relief u/s 89(1) & form 10E in  TDS in such circumstances.

I endorse the views expressed by Mr. Rajgopalan, Adv.