ITAT allowed assessee's appeal granting relief under section...

ITAT allowed assessee's appeal granting relief under section 89(1) read with Rule 21A(1)(a) regarding lumpsum ex-gratia payment received from employer. Assessee, employed as maintenance department labourer earning approximately Rs. 18,000 monthly, received ex-gratia payment following company shutdown due to heavy losses. ITAT relied on coordinate bench decision in identical circumstances where relief under section 89(1) was permitted for lumpsum payments to employees. Tribunal found facts substantially similar and concluded assessee entitled to statutory relief for employer's lumpsum ex-gratia payment upon company closure.