NEHABEN VIMALKUMAR SHAH,VADODARA vs. ITO WARD 4(1)(7), VADODARA, AAYKAR BHAVAN, VADODARA

ITA 789/AHD/2026Status: DisposedITAT Ahmedabad03 July 2026AY 2020-20216 pages
AI SummaryAllowed

What were the facts?

The assessee, an employee of BSNL, received compensation under the BSNL Voluntary Retirement Scheme-2019 and leave encashment. The assessee claimed full exemption for these amounts, which was partially denied by the tax authorities.

What did the Tribunal hold?

The Tribunal held that the compensation received under the BSNL VRS-2019 is eligible for exemption under Section 10(10B) of the Income Tax Act, 1961, and directed the Assessing Officer to verify and allow exemption accordingly. The leave encashment was also to be considered as per statutory limits.

What were the issues?

Whether compensation received under BSNL VRS-2019 is exempt under Section 10(10B) and whether leave encashment is exempt under Section 10(10AA).

Which sections of the Income-tax Act were involved?

Section 10(10B),Section 10(10AA),Section 250

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, “A” BENCH, AHMEDABAD

Before: DR. B.R.R. KUMAR, VICE-SHRI RAHUL CHAUDHARY

For Appellant: Dr. Kumar R. Pandya, Advocate
For Respondent: Shri Amit Pratap Singh, Sr DR
Hearing: 01.07.2026Pronounced: 03.07.2026

PER DR. B.R.R. KUMAR, VICE-PRESIDENT:

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These two appeals have been filed by the assessee against the separate orders, both dated 18.02.2026, passed by the Ld. Addl/Jt. Commissioner of Income Tax (Appeals)-2, Delhi (hereinafter referred to as ‘Ld. CIT (A)’ in short), under Section 250 of the Income-tax Act, 1961 (hereinafter referred to as ‘the Act’ in short), for Assessment Years 2020-21 & 2021-22. 2. Since the issues involved in both the appeals are identical in nature, they are being disposed of by this consolidated order for the sake of convenience.

3.

The assessee has raised multiple g

The order continues below.

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