CHANDRA PRAKASH VASHISTHA,JAIPUR V. ITO WD 1(4), JPR, JAIPUR

ITA 1139/JPR/2025

AI Insights

Chandra Prakash Vashistha, a retired employee of the State Bank of India, appealed against the order of the Learned CIT(A) which had dismissed his earlier appeal challenging the assessment order under section 143(1) of the Income Tax Act. The dispute centered on the leave encashment benefit of Rs. 13,05,810 received by the appellant upon superannuation, which was contested under section 10(10)AA of the Act. The appellant argued that a recent notification (dated 24.05.2023) extending the leave encashment benefit limit to Rs. 25 lakhs retrospectively should apply to his case, which the department did not dispute. The tribunal found merit in the appellant's argument and allowed the appeal, directing the Assessing Officer to revise the leave encashment limit accordingly.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 777877 (ITAT-JAIPUR)
• Duration Of Justice: 1 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-10-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2021-2022
• Appeal Filed On: 16-08-2025
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: GAJENDRA SINGH
• Assessee Lawyers: SUNIL PORWAL; THROUGH V.C
• Keywords: Condonation of delay; Set aside; Retrospective amendment; Period of limitation

Judgement Text

"vk;dj vihyh; vf/kdj.k] t;iqj U;k;ihB] t;iqj IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES,”SMC” JAIPUR Mk0 ,l- lhrky{eh] U;kf;d lnL; ,oa Jh jkBkSM+ deys'k t;UrHkkbZ] ys[kk lnL; ds le{k BEFORE: DR. S. SEETHALAKSHMI, JM & SHRI RATHOD KAMLESH JAYANTBHAI, AM vk;dj vihy la-@ITA. No.1139/JPR/2025 fu/kZkj.k o\"kZ@Assessment Years : 2021-22 Chandra Prakash Vashistha B-235, Meera Path, Vaishali Nagar, Jaipur. cuke Vs. The ITO, Ward-1(4), Jaipur. LFkk;h ys[kk la-@thvkbZvkj la-@PAN/GIR No.: AATPV2777Q vihykFkhZ@Appellant izR;FkhZ@Respondent fu/kZkfjrh dh vksj ls@ Assessee by : Shri Sunil Porwal, C.A. (through V.C.) jktLo dh vksj ls@ Revenue by : Shri Gajendra Singh, Addl. CIT a lquokbZ dh rkjh[k@ Date of Hearing : 01/10/2025 mn?kks\"k.kk dh rkjh[k@Date of Pronouncement : 07/10/2025 vkns'k@ ORDER PER: RATHOD KAMLESH JAYANTBHAI, AM Appellant-assessee, who claims to have got superannuated from State Bank of India, has challenged order dated 18.10.2022, passed by Learned CIT(A), whereby his appeal filed there, while challenging order dated 03.11.2021, passed u/s 143(1) of the Income Tax Act (hereinafter referred to as “the Act”), has been dismissed. 2. The impugned order is dated 18.10.2022. Present appeal came to be presented on 16.08.2025 i.e. much beyond prescribed Printed from counselvise.com ITA No. 1139/JPR/2025 Chandra Prakash Vashistha, Jaipur. 2 period of limitation for 959 days. Along with the appeal, the assessee-appellant filed an application seeking condonation of delay in filing of the appeal. Accordingly, Ld. AR for the appellant-applicant has firstly advanced arguments on the point of condonation of delay. The only contention raised by ld. AR for the applicant is that the assessee is an retired employee of a bank having age more than 65 years, who could not present the appeal within the prescribed period of limitation, as he contacted many tax consultants before making up his mind to go for appeal challenging the impugned order. Accordingly, Ld. AR for the applicant- appellant has urged that the delay in filing of the appeal may be condoned. 3. Alongwith the application, the applicant-appellant submitted to his affidavit duly attested before notary public. 4. As noticed above, the applicant-appellant was in the services of the Bank and the matter pertains to retrial benefit i.e. leave encashment, received by him, on his superannuation. When the applicant-appellant states on oath that he contacted many legal experts, which led to delay in filing of the appeal, we deem it a fit case to believe his deposition on affidavit, particularly, when said Printed from counselvise.com ITA No. 1139/JPR/2025 Chandra Prakash Vashistha, Jaipur. 3 deposition goes unchallenged. Consequently, delay in filing of the appeal is hereby condoned. On merit 5. The only submission put forth by Ld. AR for the appellant is that an amount of Rs. 13,05,810/- was received by the appellant by way of leave encashment benefit in terms of section 10(10)AA of the Act, and that notification dated 24.05.2023 was issued by CBDT whereby the benefit was extended to non government employees by raising the limit to Rs. 25 lakhs and that too with retrospective effect. Therefore, Ld. AR has contended that by not applying the said notification dated 24.05.2023 with retrospective effect, Learned CIT(A) has erred in confirming the assessment order, and argued that the appeal deserves to be allowed. 6. In the course of arguments, Ld. DR for the department has not disputed issuance of notification no. 31/2023/F.No.200/2023- ITA-I dated 24.05.2023 and that the above said limit as regards leave encashment was raised to Rs. 25 lakhs. 7. In view of the notification dated 24.05.2023, which is a piece of evidence in the form of beneficial instructions meant for non government employees, the assessment order and the impugned order, passed by Learned CIT(A) deserve to be set aside. Printed from counselvise.com ITA No. 1139/JPR/2025 Chandra Prakash Vashistha, Jaipur. 4 Result 8. As a result, this appeal is allowed. Assessing Officer to give effect to revised limit of leave encashment. Based on these observations the appeal of the assessee is allowed. Order pronounced in the open Court on 07/10/2025. Sd/- Sd/- ¼Mk0 ,l- lhrky{eh½ ¼ jkBksM deys'k t;UrHkkbZ ½ (Dr. S. Seethalakshmi) (Rathod Kamlesh Jayantbhai) U;kf;d lnL;@Judicial Member ys[kklnL;@Accountant Member Tk;iqj@Jaipur fnukad@Dated:- 07/10/2025 *Santosh vkns'k dh izfrfyfi vxzsf’kr@Copy of the order forwarded to: 1. vihykFkhZ@The Appellant- Chandra Prakash Vashistha, Jaipur. 2. izR;FkhZ@ The Respondent- ITO, Ward-1(4), Jaipur. 2. vk;dj vk;qDr@ CIT 4. vk;dj vk;qDr@ CIT(A) 5. foHkkxh; izfrfuf/k] vk;dj vihyh; vf/kdj.k] t;iqj@DR, ITAT, Jaipur. 6. xkMZ QkbZy@ Guard File { ITA No. 1139/JPR/2025 } vkns'kkuqlkj@ By order lgk;d iathdkj@Asst. Registrar Printed from counselvise.com "