Form 10E

Need to Update

No Hidden Charges

Lowest Price Guarantee

Talk to an Expert

Your information is safe with us. | Privacy Policy

Four Steps to Get Your Incorporation Certificate

Fill the Form

Provide business details

Add to cart

Pay the required fee online

Submit Documents

Upload required papers

Certificate delivery

Official Document Delivery

Find the best plan for your needs

Basic Plan

₹ 12,999
+GST

Standard Plan

₹ 15,499
+GST

Basic Plan
+

Premium Plan

₹ 26,499
+GST

Standard Plan
+

What is Form 10E?

Form 10E is an online form that helps taxpayers reduce extra tax when they receive salary arrears, advance salary, pension arrears, or gratuity. It is required to claim tax relief under Section 89(1) of the Income Tax Act, 1961.

When you get salary arrears (delayed salary for past years), it may increase your total taxable income for the year, pushing you into a higher tax slab. Form 10E helps distribute the arrears across previous years, ensuring you pay tax fairly and don’t pay more than required.

pvt ltd

Need to Update

Need to Update

Example of How Form 10E Reduces Tax

Without Form 10E (Higher Tax)

Raj earns ₹6,00,000 per year. In FY 2024-25, he receives ₹1,50,000 as salary arrears from previous years.

  • His total income for FY 2024-25 becomes ₹7,50,000 (₹6,00,000 + ₹1,50,000).
  • This moves him into a higher tax slab, increasing his tax liability.

With Form 10E (Lower Tax)

By filing Form 10E, Raj distributes the ₹1,50,000 arrears across past years, applying the tax rates of those years.

      • No sudden increase in taxable income.
      • Tax is calculated as per old slabs, reducing the tax burden.

Result: Raj pays less tax and saves money

How to File Form 10E Online

Need to update

Group 49
  • Go to e-File > Income Tax Forms > File Income Tax Forms.
  • Search for Form 10E and select the Assessment Year.
  • Provide details of salary arrears, advance salary, pension, gratuity, or compensation.
  • Enter the year-wise breakup of arrears received.
  • Double-check all entries.
  • Click Submit to file Form 10E online.

Keep a copy of Form 10E for your records. Your employer or the tax department may ask for it later.

Frequently Asked Questions

Is Form 10E mandatory for tax relief on salary arrears?

Yes, you must file Form 10E online to claim tax relief under Section 89(1). If you don’t, your tax relief claim may be rejected.

Can pensioners file Form 10E?

Yes, pensioners receiving pension arrears due to revisions or delays can file Form 10E to reduce their tax burden.

Do I need to give Form 10E to my employer?

No, you don’t have to submit Form 10E to your employer. However, keep a copy for reference.

Can I file Form 10E after filing my ITR?

No, Form 10E must be filed BEFORE you file your ITR. Otherwise, your tax relief claim won’t be accepted.

What happens if I don’t file Form 10E?

If you don’t file Form 10E, you will lose the tax relief, and your arrears will be taxed at the higher slab rate of the current year.