https://www.taxtmi.com/caselaws?id=18424 Deduction for holiday wages and leave encashment under the Beedi and Cigar Workers (Conditions of Employment) Act, 1966 depended on proof of an accrued statutory liability under the Income-tax Act, 1961. The Court held that a mere statutory entitlement was not enough: the assessee had to show that a worker had actually claimed encashment and that the liability had crystallised during the relevant year. As no such evidentiary foundation was established, the amount could not be treated as an ascertained liability for deduction under section 37. The deduction was therefore rejected. en-us Wed, 14 Feb 1996 00:00:00 +0530 Wed, 30 Sep 2009 17:37:56 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=18424 Deduction for holiday wages and leave encashment under the Beedi and Cigar Workers (Conditions of Employment) Act, 1966 depended on proof of an accrued statutory liability under the Income-tax Act, 1961. The Court held that a mere statutory entitlement was not enough: the assessee had to show that a worker had actually claimed encashment and that the liability had crystallised during the relevant year. As no such evidentiary foundation was established, the amount could not be treated as an ascertained liability for deduction under section 37. The deduction was therefore rejected. Case-Laws Income Tax Wed, 14 Feb 1996 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=18424