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Taxability of Retention Bonus

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14 July 2022 Retention Bonus paid to employee in the financial year 2020-21 and recovered back from full & final settlement in financial year 2021-22 as the condition of not leaving the company for one year was not met. Can the amount recovered back be claimed as deduction by employee?
Request for an advice in terms of the position under Income Tax Act!

14 July 2022 Yes, you can claim the same. There are case-laws supporting the claim.

14 July 2022 Thank You Sir! Would appreciate if you could please cite the case law for my better understanding! Thanks again


14 July 2022 ACIT vs Dileep Ranjekar in ITA No. 858/Bang./2016

https://www.taxcorner.co.in/2020/08/interest-earned-on-epf-after-employment-is-taxable-itat.html

14 July 2022 Thank You Sir! Shall go through the case law and do the needful!



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