Income Tax : The article explains the tax implications of domestic and international holidays under the Income Tax Act, 2025. It highlights rul...
Income Tax : The ITAT held that the enhanced ₹25 lakh leave encashment exemption is a beneficial and curative amendment and can apply retrosp...
Income Tax : Summary of key income tax benefits for salaried individuals for AY 2026-27, covering a range of exempt allowances like HRA, Childr...
Income Tax : While employers may assess LTA claims based on declarations provided by employees, they are not obligated to collect proof such as...
Income Tax : Unravel the intricacies of LTA under Section 10(5) of the Income Tax Act. Explore exemptions, key judgments like State Bank of Ind...
Finance : The bank/ lending institution will provide ex gratia payment to the borrower account of the difference between compound interest a...
Income Tax : In order to provide the benefits to other employees (i.e. non-Central Government employees) who are not covered by the above menti...
Income Tax : As per the provisions of section 10(5) of the Income-tax Act, 1961, an exemption of the value of leave Travel Concession/Assistanc...
Income Tax : The government may allow the Leave Travel Allowance (LTA) to be exempted from taxation once the Direct Tax Code (DTC) comes into e...
Income Tax : Salaried taxpayers may have less kitty for holidays from April 2012, with the government proposing to scrap tax incentives on leav...
Corporate Law : The Madras High Court held that overseas travel under LTC was merely an administrative concession without statutory backing. Its w...
Income Tax : The Court held that an employer acting in accordance with interim judicial directions restraining TDS deduction cannot be treated ...
Income Tax : ITAT Ahmedabad held that a bank could not be treated as an assessee in default for non-deduction of TDS on LFC payments when it ac...
Income Tax : ITAT ruled that although LTC exemption involving foreign travel stood disallowed by SC, such judgment could not retrospectively im...
Income Tax : The Tribunal held that the revised ₹25 lakh exemption limit for leave encashment under Section 10(10AA) must be considered and r...
Income Tax : CBDT has issued Notification No. 31/2023-Income-Tax and Increased limit for tax exemption on leave encashment for non-government ...
Income Tax : CBDT notifies rules for LTC (Leave Travel Concession) Cash Voucher Scheme [Section 10(5)] vide which LTC Exemption of Rs. 36000 pe...
Corporate Law : Keeping in view of practical difficulties in submission of bills/claims for purchases made particularly in late hours of 31st Marc...
Income Tax : Whether the full and final settlement of the bills pertaining to LTC Cash Scheme is also to be ensured by 31st March, 2021, withou...
Corporate Law : No. 31011/1/2020-Estt (A.IV) Government of India Ministry of Personnel, Public Grievances and Pensions Department of Personnel and...
The Madras High Court held that overseas travel under LTC was merely an administrative concession without statutory backing. Its withdrawal did not violate service conditions or employees’ rights.
The Court held that an employer acting in accordance with interim judicial directions restraining TDS deduction cannot be treated as an assessee in default under Section 201 of the Income Tax Act.
ITAT Ahmedabad held that a bank could not be treated as an assessee in default for non-deduction of TDS on LFC payments when it acted in compliance with binding interim directions of the Madras High Court. The Tribunal deleted demands raised under Sections 201(1) and 201(1A).
The article explains the tax implications of domestic and international holidays under the Income Tax Act, 2025. It highlights rules relating to Leave Travel Allowance, TCS on overseas travel, and taxation of company-sponsored vacations.
ITAT ruled that although LTC exemption involving foreign travel stood disallowed by SC, such judgment could not retrospectively impose TDS default liability for periods covered by judicial interim protection.
The Tribunal held that the revised ₹25 lakh exemption limit for leave encashment under Section 10(10AA) must be considered and remanded the matter to the Assessing Officer for recomputation. The decision emphasizes applying the enhanced limit even for earlier assessment years where judicial precedents support the claim.
The ITAT held that the enhanced ₹25 lakh leave encashment exemption is a beneficial and curative amendment and can apply retrospectively to earlier retirees. The ruling enables eligible taxpayers to claim refunds despite earlier ₹3 lakh limits, though the issue awaits final judicial settlement.
The Supreme Court held that Leave Travel Concession involving foreign travel falls outside Section 10(5) exemption. Employers must deduct TDS where LTC journeys include foreign legs or deviate from the shortest domestic route.
The Supreme Court stayed recovery of tax and interest demanded for non-deduction of TDS on foreign LTC reimbursements. The matter has been tagged with a related SLP for further consideration.
The High Court ruled that LTC involving foreign travel is not exempt under Section 10(5) and TDS must be deducted under Section 192. The appeal was dismissed as no substantial question of law arose.
