LTA Claim

CIVIL APPELLATE JURISDICTION

CIVIL APPEAL NO.993 OF 2005

COMMISSIONER OF INCOME TAX & ANR. ...APPELLANT (S)

VERSUS

M/S LARSEN & TOUBRO LTD. ...RESPONDENT(S)

WITH CIVIL APPEAL NO. 992 OF 2005

ORDER

A short question which arises for determination in these Civil Appeal(s) is whether the

assessee(s) was under statutory obligation under Income Tax Act, 1961, and/or the Rules to

collect evidence to show that its employee(s) had actually utilized the amount(s) paid

towards Leave Travel Concession(s)/Conveyance Allowance?

It may be noted that the beneficiary of exemption under Section 10(5) is an individual

employee. There is no circular of Central Board of Direct Taxes (CBDT) requiring the

employer under Section 192 to collect and examine the supporting evidence to the

Declaration to be submitted by an employee(s).

For the above reasons there is no merit in the Civil Appeals and the same are dismissed

with no order as to costs.

J. [S. H. KAPADIA ]

J [ AFTAB ALAM ]

New Delhi, January 21, 2009