ITAT Deletes Tax Addition as Retrenchment Compensation Was Capital Receipt: ITAT Chandigarh

Rajeshwar Sharma Vs ITO (ITAT Chandigarh) The appeals before the ITAT Chandigarh were filed by different assessees against orders of the Commissioner of Income Tax (Appeals). Since a common issue was involved, the appeals were heard together, with the case of Rajeshwar Sharma treated as the lead case. One of the grounds relating to cash deposits was not pressed by the assessee and was accordingly dismissed. The principal issue concerned exemption claimed under Section 10(10A) of the Income Tax Act in respect of a lump-sum amount received from the assessee’s erstwhile employer, Ranbaxy Labora...