RAJENDRA KUMAR,RANCHI vs. INCOME TAX OFFICER, WARD-W2(1), RANCHI, RANCHI

ITA 116/RAN/2026Status: DisposedITAT Ranchi18 June 2026AY 2020-213 pages
AI SummaryAllowed

What were the facts?

The assessee received Rs. 13,20,280/- as leave encashment on retirement. The Assessing Officer restricted the exemption to Rs. 3,00,000/-, and the CIT(A) upheld this, stating the assessee was not a government employee. The assessee appealed to the ITAT.

What did the Tribunal hold?

The Tribunal condoned the delay in filing the appeal, citing a retrospective CBDT notification. Following coordinate bench decisions, the Tribunal held that the assessee is entitled to the full exemption of leave encashment under Section 10(10AA)(ii).

What were the issues?

Whether the assessee is entitled to full exemption of leave encashment on retirement, and if a retrospective CBDT notification can be applied to condone appeal delay and grant the claim.

Which sections of the Income-tax Act were involved?

Section 10(10AA)(ii)

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, RANCHI BENCH, RANCHI

Before: SHRI PRADIP KUMAR CHOUBEY & SHRI RATNESH NANDAN SAHAY

For Appellant: Shri Sunil Porwal, A.R
For Respondent: Shri Shubham Agarwal, Sr.DR
Hearing: 02/06/2026Pronounced: 18/06/2026

PER: RATNESH NANDAN SAHAY, A.M.

1.

This appeal by the assessee is directed against the order of the learned National Faceless Appeal Centre (NFAC), Delhi [in short, the ld. CIT(A)] dated 19/09/2022 for the Assessment Year (AY) 2020-21. The assessee has raised following grounds of appeal:

"

1.

Under the facts and circumstances of the case, the ld. CIT(A) NFAC has wrongly restricted the exemption under Section 10(10AA)(ii) of the Act to Rs. 300000/- against claimed and actual received by appellant as Leave Encashment on retirement Rs. 13,20,280/-.

2.

That recently the CBDT has issued Notification No. 31/2023/F No. 200/3/2023-

The order continues below.

Read the full judgment

A free account opens 10 full judgments a month. Re-reading one you have already opened does not count again.

Create a free accountSign in

See plans and prices

The summary, the parties, the sections and the citations above are open to everyone and always will be. Only the text of the order and the PDF are metered.

More judgments on Section 10(10AA)(ii)

All 25 judgments and leading authorities on Section 10(10AA)(ii) →

Recent GST High Court judgments

Search GST case law →