Answer

1. F

   Facts

   For tax year 2026-27 onwards, relief for salary arrears is in Sec 157 of the Income-tax Act 2025 (old Sec 89), and the form is Form 39 under the Income-tax Rules 2026 (old Form 10E). Arrears received in FY 2025-26 or earlier still use Sec 89 and Form 10E.

2. P

   Provisions and law

   • Sec 157, Income-tax Act 2025 (old Sec 89)Relief for salary arrears or advance
   • Form 39, Income-tax Rules 2026 (old Form 10E)Form to claim relief for arrears
3. A

   Analysis

   The idea stays the same: compare tax in the year of receipt with tax in the years the arrears relate to. Arrears received from April 2026 that relate to FY 2025-26 or earlier will need earlier years' figures computed under the 1961 Act rates. Keep employer statements from now so the 2027 filing is easy.

4. C

   Conclusion

   1. 1Use Sec 157 and Form 39 for arrears received from April 2026
   2. 2Keep year wise arrears statements from the employer
   3. 3Keep old ITRs to get earlier years' income
   4. 4File Form 39 before the return in 2027

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