PRASANTA KUMAR GOGOI,MUMBAI vs. ITO, WARD, GOLAGHAT, GOLAGHAT

ITA 526/GTY/2026Status: DisposedITAT Guwahati06 October 2026AY 2020-202126 pages
AI SummaryAllowed

What were the facts?

The assessee, employed with Bharat Sanchar Nigam Limited (BSNL), opted for the BSNL VRS-2019 scheme and received compensation. The assessee, due to lack of awareness about exemption under Section 10(10B) of the Income-tax Act, 1961, offered this compensation to tax in their return of income for Assessment Years 2020-21 and 2021-22. Tax was deducted at source. No exemption was claimed in the original or revised return. The CPC issued an intimation under Section 143(1) without granting exemption. Upon learning of a favorable ITAT Chandigarh Bench judgment in a similar case, the assessee sought exemption from the CIT(A). The CIT(A) dismissed the appeal, holding that the grievance did not emanate from the order appealed against and that the assessee should have claimed relief in a revised return or sought condonation of delay.

What did the Tribunal hold?

The Tribunal held that the assessee is eligible for exemption under Section 10(10B) of the Income-tax Act, 1961, on the compensation received under the BSNL VRS-2019 scheme. The Tribunal found that the assessee had filed the claim before the Ld. CIT(A) and that since the income is not taxable, the assessee is eligible for a refund of the TDS. The Tribunal respectfully followed the judgment of the Hon'ble ITAT Chandigarh Bench in Harish Kumar vs. ITO (ITA No. 42/CHD/2025) which dealt with a similar set of facts concerning the BSNL VRS-2019 scheme. The appeals of the assessee were allowed. The operative direction was to allow the exemption and grant the refund of TDS.

What were the issues?

1. Whether the assessee is eligible for exemption under Section 10(10B) of the Income-tax Act, 1961, on compensation received under the BSNL VRS-2019 scheme, despite not claiming it in the original or revised return of income? Assessee's Contention: The assessee argued that due to a lack of awareness of legal provisions at the time of filing the return, the compensation was inadvertently offered to tax. Relying on the ITAT Chandigarh Bench decision in Harish Kumar vs. ITO (ITA No. 42/CHD/2025), the assessee contended that the compensation is exempt under Section 10(10B), subject to Rule 2BA compliance. The assessee also referred to CBDT Circular No. 14 of 1955, which obligates tax authorities to grant lawful reliefs even if not claimed. Revenue's Contention: The judgment does not record specific arguments from the revenue's side regarding this issue.

Which sections of the Income-tax Act were involved?

Section 10(10B),Section 143(1)

AI-generated summary — verify with the full judgment below

ITA No. 512-547/GTY/2026 & other appeals Assessment Years: 2020-21 & 2021-22 IN THE INCOME TAX APPELLATE TRIBUNAL, KOLKATA-GUWAHATI ‘e-COURT’, DB, KOLKATA [Hybrid Court Hearing] Before Shri Duvvuru RL Reddy, Vice-President (KZ) & Shri Laxmi Prasad Sahu, Accountant Member

ITA Nos. 512 & 513/GTY/2026 Assessment Years: 2020-21 & 2021-22 C/o. Padvekar Law Ward-1(2), Guwahati, Chambers, Aayakar Bhawan, 408, Maker Bhavan No. 3, Christian Basti, G.S. 21, New Marine Lines, Road, Guwahati- Mumbai-400020, 781005, Assam Maharashtra [PAN:AFUPD0282N] APPELLANT RESPONDENT

Assessee by : Shri Tazil R. Padvekar, Advocate Revenue by : Shri P.S. Thuingaleng, D.R. & ITA Nos. 514 & 515/GTY/2026 Assessment Years: 2020-21 & 2021-22

Takhellambam Joykumar Singh, Vs. Assistant Commissioner of C/o. Padvekar Law Income Tax, Chambers, Circle, Imphal, 408, Maker Bhavan No. 3, Aayakar Bhawan, Jail 21, New Marine Lines, Road, Old Lambulane, Mumbai-400020, Imphal-795001, Maharashtra Manipur [PAN:CIBPS3326J] APPELLANT RESPONDENT

Assessee by : Shri Tazil R. Padvekar, Advocate Revenue by : Shri P.S. Thuingaleng, D.R. 1

ITA No. 512-547/GTY/2026 & other appeals Asse

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