https://www.taxtmi.com/caselaws?id=456699 Voluntary retirement compensation received under a Government-funded package for closure/rehabilitation was examined to determine whether exemption lay under s.10(10B) or s.10(10C). Since the payment was budgetarily earmarked by the Union Government as compensation to employees for closure and financial rehabilitation, it satisfied the conditions of s.10(10B), and being pari materia with binding precedent, the entire compensation was held exempt under the second proviso to s.10(10B); the AO was directed to grant full exemption. Separately, as gratuity falls within "salary" under s.17(1)(iii), relief under s.89 was directed on the net taxable gratuity after excluding the exemption already allowed. en-us Wed, 20 Sep 2023 00:00:00 +0530 Fri, 17 Apr 2026 14:50:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=456699 Voluntary retirement compensation received under a Government-funded package for closure/rehabilitation was examined to determine whether exemption lay under s.10(10B) or s.10(10C). Since the payment was budgetarily earmarked by the Union Government as compensation to employees for closure and financial rehabilitation, it satisfied the conditions of s.10(10B), and being pari materia with binding precedent, the entire compensation was held exempt under the second proviso to s.10(10B); the AO was directed to grant full exemption. Separately, as gratuity falls within "salary" under s.17(1)(iii), relief under s.89 was directed on the net taxable gratuity after excluding the exemption already allowed. Case-Laws Income Tax Wed, 20 Sep 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=456699