2009 (1) TMI 11 - SCH - Income Tax

Whether the assessee was under statutory obligation under Income Tax Act or the Rules to collect evidence to show that its employee had actually utilized the amount paid towards Leave Travel Concession(s)/Conveyance Allowance - It may be noted that the beneficiary of exemption u/s 10(5) is an individual employee - there is no circular of CBDT requiring the employer u/s 192 to collect & examine the supporting evidence to the Declaration to be submitted by an employee- Revenue s appeal dismissed

Summary

The Supreme Court ruled that there is no statutory obligation for employers to collect evidence of employees utilizing Leave Travel Concession/Conveyance Allowance. The Civil Appeals were dismissed with no costs.