Form 10-EE Filing for Section 89A Relief – Due Date August 31, 2026

Taxpayers who are Indian residents and hold certain foreign retirement benefit accounts may be eligible for relief under Section 89A of the Income-tax Act, 1961. Where the return of income is required to be furnished on or before August 31, 2026, the prescribed Form No. 10-EE should be furnished electronically by the applicable due date.

What is Section 89A?

Section 89A provides relief to a resident individual in respect of income arising from a specified retirement benefit account maintained in a notified country.

The provision addresses a timing mismatch that may arise where:

• India may tax income from the retirement account on an accrual basis; while

• The foreign country taxes the income only when the retirement account is withdrawn or redeemed.

Under Section 89A, the income can, subject to the prescribed conditions, be taxed in India in the year in which it is taxed in the notified country upon withdrawal or redemption.

The detailed mechanism is prescribed under Rule 21AAA of the Income-tax Rules, 1962.

Who Can Claim the Relief?

Broadly, Section 89A applies to a specified person who:

• Is a resident individual in India;

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• Opened a specified retirement benefit account while being a non-resident in India and resident in the notified country; and

• Holds an eligible retirement benefit account in a notified country.

The account must satisfy the conditions prescribed under Section 89A and Rule 21AAA.

Countries Notified Under Section 89A

CBDT Notification No. 25/2022 dated April 4, 2022 notified the following countries for Section 89A:

1. Canada

2. United Kingdom of Great Britain and Northern Ireland

3. United States of America

The notification was issued under Section 89A of the Income-tax Act, 1961.

Form No. 10-EE – Mandatory Option Filing

CBDT introduced Form No. 10-EE through Notification No. 24/2022 dated April 4, 2022, inserting Rule 21AAA into the Income-tax Rules, 1962.

The option under Section 89A is exercised by furnishing Form No. 10-EE electronically. Rule 21AAA(5) provides that the form is to be furnished electronically, using digital signature or electronic verification code, on or before the due date prescribed under Section 139(1) for furnishing the return of income.

Accordingly, where the applicable return-filing due date is August 31, 2026, Form No. 10-EE should also be furnished by August 31, 2026.

Important Point – Form 10-EE Is Not Normally Required Every Year

The option exercised through Form 10-EE has continuing effect.

Under Rule 21AAA(6), once the option is exercised for a specified account or accounts, it applies to subsequent previous years and cannot subsequently be withdrawn, subject to the specific provisions of Rule 21AAA.

Therefore, taxpayers who have already validly exercised the Section 89A option should review their earlier Form 10-EE filing before submitting a fresh form.

What Should Taxpayers Do?

Eligible taxpayers should:

• Identify whether the foreign retirement account qualifies as a specified account.

• Confirm that the account is maintained in a country notified under Section 89A.

• Verify their residential status when the account was opened.

• Review the year in which income from the account is taxable in the foreign country.

• Check whether Form 10-EE was already filed in an earlier year.

• If the option is being exercised for the first time and the conditions are satisfied, furnish Form 10-EE electronically within the prescribed time.

• Properly report the relevant foreign retirement account and income in the income-tax return, wherever applicable.

Special Caution on Change in Residential Status

Rule 21AAA contains specific consequences where a specified person subsequently becomes a non-resident. In such circumstances, the option exercised under the rule may be deemed not to have been exercised from the relevant previous year, with corresponding tax implications for income accrued during the applicable period.

Taxpayers should therefore carefully review their residential status before relying on Section 89A.

Conclusion

Form No. 10-EE is an important compliance requirement for eligible resident taxpayers seeking to exercise the Section 89A relief for qualifying foreign retirement benefit accounts. For taxpayers whose Section 139(1) return-filing due date falls on August 31, 2026, the applicable Form 10-EE compliance should be completed by the same date.

For expert guidance on this topic, contact your tax professional today.

EXCERPT: Form 10-EE enables eligible residents to exercise Section 89A relief for certain foreign retirement accounts. Check the August 31, 2026 deadline.

SEO_TITLE: Form 10-EE Due Date: Section 89A Relief 2026

SEO_DESCRIPTION: Check Form 10-EE filing requirements and the August 31, 2026 deadline for Section 89A foreign retirement account relief. Consult a tax expert.