2010 (8) TMI 1039

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....u/s.10(10C) is wholly illegal, unlawful and against the principles of natural justice. 2.2. That in the facts and circumstances of the case as well as in law, the ld. CIT(A) ought not to have upheld that the appellant did not comply with the conditions of section 10(10C) of the Act and as such ex-gratia of ₹ 1,98,650/- paid under exit option was not exempt." 2. Vide an order u/s.143(3) of the I.T. Act, 1961 dated 28/07/2009 the appellant's claim of exemption u/s.10(10C) of the I.T. Act, 1961 of ₹ 1,98,650/- an amount received as "Exit Option Scheme" of State Bank of India was disallowed. The matter was carried before the first appellate authority, who has affirmed the action of the Assessing Officer. 3. Now before us, an orde....

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....rect judgment of Hon'ble Gujarat High Court. In appeal, the Learned Commissioner of Incometax (Appeals) following the decisions of the High Courts relied upon by the assessee, allowed the deduction to the assessee. I find that the Hon'ble Madras High Court in the case of CIT vs. G V Venugopal 273 ITR 307 held as under: "Notions of equity do not apply in taxing statutes. Hence, if the assessee is entitled to two benefits on the plain language of statute, he has to be granted both those benefits. The second proviso to s. 10(10C) only refers to exemption claimed in any other assessment year. It is well settled that every assessment year is a self-contained unit. The assessment year in question in the present case is 2001-02 and the e....