Employer contribution deductions are denied for unrecognized funds except statutory and approved welfare fund exceptions. Employers are restricted from claiming a tax deduction for amounts paid to set up, form or contribute to any fund, trust, company, association of persons, body of individuals, society or other institution, unless the payment falls within a recognised statutory exception. Deduction is preserved only for contributions specifically permitted under the provisions governing recognised provident funds, recognised superannuation funds, employer contributions to the statutory pension scheme, and approved gratuity funds, or where the payment is legally required under another law in force. Employee welfare fund contributions are generally not deductible unless they fit within the specified exceptions.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Employer contribution deductions are denied for unrecognized funds except statutory and approved welfare fund exceptions.
Employers are restricted from claiming a tax deduction for amounts paid to set up, form or contribute to any fund, trust, company, association of persons, body of individuals, society or other institution, unless the payment falls within a recognised statutory exception. Deduction is preserved only for contributions specifically permitted under the provisions governing recognised provident funds, recognised superannuation funds, employer contributions to the statutory pension scheme, and approved gratuity funds, or where the payment is legally required under another law in force. Employee welfare fund contributions are generally not deductible unless they fit within the specified exceptions.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
AI OCR ✕
of 
TaxTMI 
TaxTMI 
