Arrears Processing
Calculate and process salary arrears
Salary Arrears
When Arrears Apply
- Delayed salary revision
- Promotion with backdate
- Increment with retrospective effect
- Correction of past errors
Calculating Arrears
- Go to Payroll > Arrears
- Select employee
- Enter new salary details
- Specify effective from date
- System calculates difference
Processing
Arrears can be:
- Added to next payroll
- Processed as separate payment
- Spread across months
Tax Treatment
Arrears may qualify for:
- Section 89 relief
- Form 10E filing
- Reduced tax impact