Navigating Final Settlements: Can I Still Submit Tax Proofs and Address Salary Deductions?

Hello All, I work for an Indian IT company and was abroad for the past 4 months. While abroad, I resigned and served the full notice period and parted on good terms. I had raised an issue regarding a deduction made in my salary a few months back, which seemed like a mistake as the salary department couldn't provide an explanation either. Before the last day, I was told that this issue would be discussed and settled later along with the final settlement. I also requested some time to submit proofs for HRA, medical, and LTA so that only the required tax would be deducted. As it was time-consuming to arrange for someone to vacate my house, collect the rent receipts, LTA bills, etc., I needed time. However, within a month (after my resignation), my settlement was processed without waiting for me to submit my proofs for income tax deduction. Despite my inquiries with the salary department for clarification on the previous deduction, there was no response. Consequently, the settlement was finalized without addressing or refunding this deduction.

Here are my queries:

1) Is it reasonable for me to request the salary department to allow me about 2 months to gather and send them the necessary bills/proofs? Do I have the right to ensure the company considers these documents? Additionally, is there a legal requirement specifying a timeframe for completing the settlement (that led them to rush the process without waiting for my bills/proofs)?

2) Can I ask for a recalculated settlement (taking into account the bills, etc.)? Or is it at the discretion of the employer to consider this request?

3) What steps can I take regarding the deduction made from my salary months ago, for which I neither received an explanation nor reimbursement?

Thank you, and please advise.

Regards,
Alex

Thanks, but I want to know if, instead of waiting for the income tax return, I can still ask the company to redo the final settlement. This time, I would like them to consider my LTA/rent bills, etc., so that the correct tax is only deducted and I don't have to wait for the income tax refund, which is very delayed.

It's only been 2 months since I left the company, and I haven't sent an email saying I am accepting the settlement. They still have to clarify an amount that was wrongly deducted as well. Please advise.

You can try. Suppose they have deposited the TDS deducted with the Income Tax department; they can't reverse it.

As Pon has rightly said, the TDS has to be deducted and paid to the Government Treasury on the 7th of every month. Even the return has to be filed quarterly. The return can be revised, but most people do not take the effort to do it. It is advisable to follow up with your company for unclaimed bills and errors in the salary. Regarding excess TDS deducted, the only way out is by claiming an Income Tax Refund. Gone are the days when the refund used to take time; nowadays, since the returns are filed through e-filing, the refunds are made within a span of 3-4 months.