In this guide
What is Form 10E?
If salary arrears or advance salary is taxed in one year, the additional income may push you into a higher tax slab. Section 89 of the Income-tax Act, 1961 provides relief in eligible cases by taking into account the year or years to which the income relates.
Form 10E provides the details needed to calculate that relief. It does not make arrears tax-free, and filing the form does not guarantee that relief will be allowed.
For AY 2026-27, the return covers income earned in FY 2025-26. Form 10E under the 1961 Act applies. Do not confuse it with Form 39, which applies to claims under the Income-tax Act, 2025 for Tax Year 2026-27.
| Return period | Applicable law | Relief form |
|---|---|---|
| FY 2025-26 / AY 2026-27 | Income-tax Act, 1961 | Form 10E under Section 89 |
| Tax Year 2026-27, starting 1 April 2026 | Income-tax Act, 2025 | Form 39 under Section 157 |
Who should file Form 10E?
An individual claiming Section 89 relief for eligible income received in arrears or in advance should file Form 10E. Eligible receipts can include:
- Salary or family pension received in arrears or in advance;
- Gratuity;
- Compensation on termination of employment; and
- Commuted pension.
You do not need Form 10E just because you received a bonus, incentive or salary increase. Check whether the payment qualifies for Section 89 relief and whether receiving it in one year increased your tax compared with the years it relates to.
How is the relief calculated?
The calculation generally compares the tax impact of receiving the eligible amount in one year with the tax that would have applied if it had been taxed in the year or years to which it relates. The result depends on your income and tax rates for the relevant years.
For example, if arrears relating to several years are paid in FY 2025-26, report the payment in the current year as required. Use the year-wise breakup in Form 10E to calculate any eligible relief. Relief may reduce the tax impact, but it does not remove the income from your return.
Use the actual arrears statement and tax records for each year. Do not estimate the relief by applying only the current year’s tax rate to the arrears.
Records to prepare
Keep the documents and figures needed to complete the relevant part of the form:
- Employer’s arrears or advance salary statement, showing the amount and the year it relates to;
- Form 16 and salary details for the relevant years;
- Previous ITRs and tax calculations;
- Details of gratuity, termination compensation or commuted pension, if applicable; and
- Tax calculations for the year of receipt and the other relevant years.
The form’s annexure depends on the type of receipt. Follow the current portal instructions and check that the amounts agree with your supporting records.
How to file Form 10E online
Form 10E is filed electronically on the Income Tax e-Filing portal. It is not submitted by mailing a paper form.
- Sign in to the e-Filing portal.
- Go to e-File → Income Tax Forms → File Income Tax Forms.
- Select forms under the Income-tax Act, 1961, search for Form 10E, and choose AY 2026-27.
- Select the relevant receipt type and complete the details.
- Review the year-wise figures, submit the form using the portal’s verification process, and save the acknowledgement.
File Form 10E before the ITR in which you claim relief. If you claim Section 89 relief in your ITR without filing Form 10E, the return may be processed without allowing that relief.
If you have already filed your ITR, filing Form 10E afterward does not automatically add the relief to the return. Check whether you can file a revised return and whether you meet the applicable conditions and deadline.
Deadlines and late filing
There is no separate annual due date for Form 10E in the Department’s guidance; file it before the ITR in which you claim relief. The AY 2026-27 deadline for many non-audit individual returns was extended to 31 August 2026. If you have not filed, the general belated-return deadline is 31 December 2026, or before completion of assessment, whichever is earlier. A late-filing fee may apply.
See TaxClear’s salaried employee ITR guide and belated ITR guide for AY 2026-27 for more information.
Frequently Asked Questions
Is Form 10E mandatory to claim Section 89 relief?
Yes. Form 10E is required to claim relief for eligible arrears or advance income.
Should I file Form 10E before my ITR?
Yes. File it before submitting the return in which you claim the relief.
Does Form 10E apply to AY 2026-27?
Yes. AY 2026-27 relates to FY 2025-26 and remains under the Income-tax Act, 1961.
Is Form 10E the same as Form 39?
No. Form 10E applies to Section 89 claims under the 1961 Act. Form 39 applies to Section 157 claims under the Income-tax Act, 2025 for Tax Year 2026-27.
Does filing Form 10E guarantee a refund?
No. The form reports the relief calculation. Your final tax or refund depends on your complete return and tax credits.
