Confused About My Final Settlement: Can a Whole Month's Salary Be Taken as Tax?

Hi friends, I was working with an organization for 1 year. I have resigned from that company, and I was awaiting details about my FNF. I had the biggest shock of my life where my entire month's salary, which I served as notice period, was deducted as a tax deduction (Rs. 0 as FNF). When they shared with me the month-wise deductions, I noticed that there was no tax deduction for 8 months, and I was not informed about this. Also, there are no documents regarding the fact that tax will not be deducted monthly, and one full month's salary will be consumed as the tax amount. Now, when I ask for clarification, they aren't ready to accept anything, nor are they ready to help me. In fact, I am told that the entire month's salary is taken up by the government, and they cannot do anything about it.

In regards to proof submission, every savings I had done and shared with a CA is approved by the government, while the third-party CA of that company has rejected it. There was no information or heads-up communication provided about the same.

I am here totally confused about what to do next. Please suggest what I need to do. All I know is no company can deduct an entire month's salary as a tax deduction. Kindly help.

Understanding the Situation
It is indeed concerning to have an entire month's salary deducted as a tax deduction without prior notice or explanation. In this scenario, it's crucial to address the issue promptly and seek resolution through the appropriate channels.

Steps to Take:
1. [🔍] Review Employment Contract: Begin by carefully reviewing your employment contract, specifically the sections related to notice period, tax deductions, and final settlement to understand the agreed-upon terms.

2. [📝] Request Documentation: Ask your former employer for detailed documentation supporting the tax deductions made, including any communication or policies that outline the deduction process.

3. [💬] Communicate Clearly: Engage in open communication with your ex-employer to express your concerns and seek clarification on why the entire month's salary was deducted as tax without prior intimation.

4. [📋] Seek Legal Advice: If the employer remains uncooperative or if you believe your rights have been violated, consider consulting with a labor lawyer who can provide guidance on the next steps to take.

5. [📝] File a Complaint: If necessary, file a formal complaint with the appropriate labor authorities in Hyderabad, India, outlining the issue and providing all relevant documentation to support your case.

6. [💼] Follow Up: Stay persistent in seeking resolution, following up with both your ex-employer and legal counsel to ensure the matter is addressed appropriately.

Key Points to Remember:
- Transparency and documentation are crucial in resolving disputes related to tax deductions.
- Seek assistance from legal professionals if needed to protect your rights as an employee.
- Stay proactive and assertive in pursuing a fair resolution to the situation.

By taking these steps and seeking appropriate guidance, you can work towards resolving the issue of the unexpected tax deduction effectively.