The moisture buildup, warmth, and lack of airflow kills the grass. Basically starts a mini-compost pile. Look up what happens when you cover soil with cardboard sheets.
[https://en.wikipedia.org/wiki/Sheet_mulching](https://en.wikipedia.org/wiki/Sheet_mulching)
I don’t agree with other comments here about leaves being acidic or lack of nitrogen in the leaves. It’s not like grass will die without a steady stream of organic N being fed to it, and composting leaves typically don’t have any substantial effect on soil pH (and the top leaves don’t decompose fast enough to have any effect at all).
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