Where to add Flyback diode?
Normally a diode would go directly across the relay.  Since one of those points is not availale to you, you have to find another way to limit the voltage across Q1 to safe levels.  There are two common solutions for this:

A snubber.  This is a resistor and capacitor in series between the collector of Q1 and ground.  When Q1 turns off, the instantaneous relay current won't change.  This will then all flow thru the resistor and capacitor.  The resistor needs to be sized so that this current times the resistance, plus the power supply voltage don't exceed the transistor's voltage capability.  The current thru the resistor builds up reverse voltage, which will cause the relay current to decrease over time.  At the same time, the integral of that current causes voltage to build up on the capacitor.  You have to make sure the capacitor is large enough so that the voltage that builds up plus the power supply voltage don't exceed the transistor's voltage capability.

A zener or transorb.  This is some kind of voltage limiter between the collector of Q1 and ground.  It only conducts when the collector voltage goes some margin above the supply voltage.  This means it does nothing in normal operation, but conducts to give the relay coil current a path so that it doesn't cause a high enough voltage to damage the transistor.  The maximum current this must be able to handle is the same as the relay steady state current.  It is legitimate to partially rely on the peak current rating instead of the steady current rating of the voltage suppressor since it only carries this current for a short time each time the relay is turned off.



On a separate topic, do you really need the additional transistor?  From the values of R3 and R1, it doesn't look like Q1 is being fed much base current.  If so, it would be better to just have the digital signal drive Q1 directly.  That inverts it from what you show, but since the signal is being produced by a microcontroller, you can just invert the digital signal in the firmware.

This circuit would be simpler and drop less voltage in series with the relay if Q1 were driven directly.  All you need then is Q1 and a single base resistor.

If you really need more current drive, then use a second transistor powered from the same supply the micro is powered from instead of trying to take the power from the switched side of the relay.