Query - Taxation on Superannuation withdrawal

Question

Hi Sreekanth,

Hope you are doing well. I am a following your articles from 2016 and thanks for your support in clarifying my doubts throughout.

My Query:

I resigned my job in Apr 2022 and pursued higher studies for 1 year till Mar 2023.

After resignation, my settlement included Rs.1,14,000 (Final settlement) + Rs.1,59,000 (Superannuation) + Gratuity

Also, I was paying Home loan EMI during this tenure.

ITR:

Now, my ITR shows Rs. 2,38,000 (after standard deduction)

Tax paid shows Rs. 20,129 (from the Superannuation transaction)

Total tax liability shows "0"

Finally it shows "You are eligible for a refund of 20,130"

There was no other salary or income till Mar'23.

Is it right to claim this refund?

Sreekanth Reddy · Answer

Hello,

Thank you for being a loyal reader of my blog!

Your employer might have levied TDS (tax deducted at source) on your superannuation fund withdrawal during the Financial year.

But, as per your income tax assessment calculation, your tax liability can be zero for that particular financial year.

Hence, there can be a Refund to be claimed.

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