Restriction to ₹3L Invalid After CBDT Raised Leave Encashment Limit to ₹25 Lakh

Advertisement Satish Chandra Tyagi Vs CIT (Appeals) (ITAT Delhi) The appeal was filed by the assessee against the order of the Commissioner of Income Tax (Appeals), dated 28.08.2024, arising from a rectification order under section 154 of the Income Tax Act, 1961 for Assessment Year 2019–20. The core issue in dispute was the denial of deduction under section 10(10AA) in respect of leave encashment and its restriction to the earlier exemption limit of ₹3,00,000. The assessee contended that the Central Board of Direct Taxes (CBDT), through Notification No. 31/2023 issued by the Ministry o...