Find
Yes. Sec 89 relief is a relief from tax, not a deduction that the new regime takes away. You can claim it whichever regime you choose, if you file Form 10E.
ITR
Sec 89 relief under the new tax regime
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Provisions
Sec 89 (now Sec 157); Sec 115BAC (now Sec 202)
Analysis
Many people assume the new regime blocks all reliefs; it blocks most deductions and exemptions, but Sec 89 relief stays. With lower new regime rates, relief may be smaller or nil, so compute it. For example, a government employee getting ₹1,50,000 of DA arrears may still get relief if earlier years were taxed at 20% under the old regime and this year is mostly at 15% or less.
Close
- Choose your regime for the year
- Compute relief in Form 10E
- File Form 10E before the ITR
- Claim the relief in the ITR
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