https://www.taxtmi.com/caselaws?id=17252 The High Court of Madras ruled in favor of the assessee in a case concerning the deduction of initial contribution to an approved gratuity fund under the Income-tax Act, 1961. The Court upheld the Tribunal's decision, allowing the deduction under section 36(1)(v) and rule 104 of the Income-tax Rules. It rejected the Department's argument that section 40A(7) should preclude the deduction, emphasizing the consistency in legal interpretation that payments towards an approved gratuity fund are deductible in the year of payment based on actuarial valuation. en-us Thu, 14 Nov 1996 00:00:00 +0530 Mon, 21 Sep 2009 11:21:48 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=17252 The High Court of Madras ruled in favor of the assessee in a case concerning the deduction of initial contribution to an approved gratuity fund under the Income-tax Act, 1961. The Court upheld the Tribunal's decision, allowing the deduction under section 36(1)(v) and rule 104 of the Income-tax Rules. It rejected the Department's argument that section 40A(7) should preclude the deduction, emphasizing the consistency in legal interpretation that payments towards an approved gratuity fund are deductible in the year of payment based on actuarial valuation. Case-Laws Income Tax Thu, 14 Nov 1996 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=17252