CWP No. 15516 of 2020 (O&M) 1 IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH (221) CWP No. 15516 of 2020 (O&M) Date of Decision : 08.07.2026 Narinder Kumar and others ...Petitioners Versus Union of India and others ...Respondents (221-2) CWP No. 5226 of 2021 (O&M) Nisha Jindal ...Petitioner Versus Union of India and others ...Respondents CORAM: HON'BLE MR. JUSTICE HARSIMRAN SINGH SETHI HON'BLE MR. JUSTICE AMARINDER SINGH GREWAL Present: Mr. Vivek K. Thakur, Advocate for the petitioners in CWP-15516-2020. None for the petitioner in CWP-5226-2021. Mr. Satya Pal Jain, Senior Advocate, Addl. Solicitor General of India (Joined through Video Conferencing) with Mr. Gaurav Pathak, Senior Panel Counsel for respondent No. 1-UOI (Joined through Video Conferencing). Mr. Sarthak Gupta, Advocate for respondents No. 2, 3, 5, 6 and 7. *** Harsimran Singh Sethi, J. (Oral) 1. By this common order, two writ petitions, the details of which have been given in the heading, are being decided as both these petitions involve the same question of law on similar facts. KANCHAN 2026.07.10 14:56 I attest to the accuracy and integrity of this order/judgment CWP No. 15516 of 2020 (O&M) 2 2. The present petitions have been filed for setting-aside the letter dated 14.07.2016 (Annexure P-4) and Annexure P-3 in CWP No. 5226 of 2021 issued by respondent No. 6, intimating BBMB i.e. Bhakra Beas Management Board, Sundarnagar that Tax on the amount received as leave encashment on the retirement of the employees is deductible at source. 2. Learned counsel for the petitioners argues that the petitioners are the employees of the BBMB, Sundarnagar which is to be treated as part of the Government of India so as to grant exemption from the deduction of tax from the leave encashment admissible to the Government employee upon the retirement, which benefit is not being given by the BBMB on the ground that such clarification though sought from the required Department of Government of India but the same is yet to be received, which is causing prejudice. 3. Learned counsel for the petitioners submits that appropriate direction be given to Government of India to decide the said issue and the BBMB should be directed to comply with such direction so that no prejudice is caused to the petitioners. 4. Learned Senior counsel appearing on behalf of the Union of India, which includes the Department of Taxation, submits that appropriate decision on such issue whether, the employees of the BBMB who retires, any deduction on account of Income Tax is to be made from leave encashment, will be decided within a period of three months from today and appropriate direction will be given to the BBMB in this regard. 5. Learned counsel appearing on behalf of the BBMB submits that the direction so received from the Government of India will be immediately KANCHAN 2026.07.10 14:56 I attest to the accuracy and integrity of this order/judgment CWP No. 15516 of 2020 (O&M) 3 implemented and in case, such directions are given that no deduction on account of Income Tax is to be done qua the retiring employee of the BBMB, the appropriate action will be taken to redress the grievance of the petitioners from the date such clarification is received from the Government of India. 6. Learned counsel for the petitioners submits that keeping in view the above, the present petition may kindly be disposed of having been not pressed any further but, liberty be given that in case the direction so given by the Government of India causes prejudice to the petitioners, they can avail appropriate remedy. 7. Ordered accordingly. 8. Pending miscellaneous application(s), if any, shall also stands disposed of. 9. A photocopy of this order be placed on the file of connected cases. (HARSIMRAN SINGH SETHI) JUDGE (AMARINDER SINGH GREWAL) July 08, 2026 JUDGE kanchan Whether speaking/reasoned : Yes Whether reportable : No KANCHAN 2026.07.10 14:56 I attest to the accuracy and integrity of this order/judgment