https://www.taxtmi.com/caselaws?id=16246 For valuing gifted shares under the break-up value method, the balance-sheet nearest to the date of gift governs the computation, so the later balance-sheet as on 31 March 1974 was preferred over the earlier one as on 31 March 1973. Provision for gratuity was treated as an ascertained liability and therefore deductible while arriving at total assets for break-up value; it could not be ignored as a contingent item. The valuation rule thus depends on the nearest relevant balance-sheet date, with gratuity provision allowed as a liability in the asset computation. en-us Tue, 03 Feb 1998 00:00:00 +0530 Fri, 04 Sep 2009 16:50:53 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=16246 For valuing gifted shares under the break-up value method, the balance-sheet nearest to the date of gift governs the computation, so the later balance-sheet as on 31 March 1974 was preferred over the earlier one as on 31 March 1973. Provision for gratuity was treated as an ascertained liability and therefore deductible while arriving at total assets for break-up value; it could not be ignored as a contingent item. The valuation rule thus depends on the nearest relevant balance-sheet date, with gratuity provision allowed as a liability in the asset computation. Case-Laws Income Tax Tue, 03 Feb 1998 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=16246