Notice period pay cut

Deduction not allowed......... capital loss......

Dear Priyanka and Dhirajlal Sir, it seems there has been recent rulings in this regard which have tilted this in favour of the assessee. 

https://timesofindia.indiatimes.com/city/mumbai/notice-pay-cut-by-employer-cannot-be-taxed-tribunal/articleshow/58288010.cms

https://www.financialexpress.com/money/now-you-dont-need-to-pay-income-tax-on-notice-period-pay-cut/644193/

SIR PLEASE CONFIRM ME THE SAME BECAUSE I HAD TO FILE RETURN

@ Neeraj Guptaji........ thanks for the reference.....

@ Priyanka:        Here you have mentioned that the employee has paid to employer some amount for not serving the notice period..............

So, as per above........ no deduction allowed........

You are welcome Sir.

Priyanka, please go through the provided links and make best use of these to your advantage.

Here is the excerpt:

"The Commissioner (Appeals) pointed out that under section 15 of the I-T Act, tax is triggered when the salary becomes due, irrespective of whether it is paid or not. Secondly, section 16 of the Act does not provide for any deduction made by the employer for the notice period. Thus, the deduction of Rs. 2.76 lakh claimed by Rebello was not upheld. This led to Rebello filing an appeal before the ITAT, which decided in his favour."

In the case the ITAT has recognised the concept of real income so in my case also the amount which my client received is not his real income because after that she had to pay the amount to the company. so his real income should be the salary after deducting the amount paid by her.

Please give your valuable opinion

Yes that is the inference I will make from this. The title of the article says it: "now-you-dont-need-to-pay-income-tax-on-notice-period-pay-cut". I will suggest you getting hold of the judgement if feasible, build your case after verifying that the conditions applicable to your client are similar or not, and share your views on the particular case.