ITAT allows Goldman Sachs to claim deduction for leave encashment paid before due date of ITR filing u/s 43B(f)

The ITAT allowed Goldman Sachs to claim a deduction for leave encashment paid before the due date of filing the Income Tax Return under Section 43BF. Goldman Sachs had paid leave encashment to its employees before the end of the financial year, but the claim was denied by the tax authorities. The ITAT ruled in favor of Goldman Sachs, stating that as long as the payment was made before the due date for filing the return, it was eligible for deduction under Section 43BF. This decision clarifies that leave encashment payments made before the return filing deadline qualify for deductions, encouraging timely settlement of employee-related expenses.