ITAT Agra Grants Full Leave Encashment Relief Citing Updated ₹25 Lakh Cap

Advertisement Vijay Kumar Jain Vs ITO (ITAT Agra) The Income Tax Appellate Tribunal (ITAT), Agra Bench, decided two connected appeals involving a common legal issue regarding the exemption limit for leave encashment under Section 10(10AA)(ii) of the Income-tax Act for Assessment Years 2019-20 and 2020-21. In ITA No. 175/Agr/2022, the assessee, a retiree from the State Bank of India, received leave encashment of ₹7,51,755 and claimed full exemption while filing the return. The claim was initially accepted during processing. However, the Centralized Processing Centre later passed a rectific...