https://www.taxtmi.com/caselaws?id=21602 Transfer of an electrical undertaking as a going concern was treated as transfer of a capital asset, so the consideration was brought within capital gains computation and solatium was included in the consideration. Gratuity liability on mercantile accounting was held to accrue when the statutory liability arose, so a later assessment year could not claim the deduction. Retrenchment compensation, however, arose from notices issued while the business was still being carried on and was later quantified by settlement, making it allowable as business expenditure and, alternatively, deductible against the compensation received. en-us Fri, 03 May 1991 00:00:00 +0530 Wed, 25 Nov 2009 16:46:09 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=21602 Transfer of an electrical undertaking as a going concern was treated as transfer of a capital asset, so the consideration was brought within capital gains computation and solatium was included in the consideration. Gratuity liability on mercantile accounting was held to accrue when the statutory liability arose, so a later assessment year could not claim the deduction. Retrenchment compensation, however, arose from notices issued while the business was still being carried on and was later quantified by settlement, making it allowable as business expenditure and, alternatively, deductible against the compensation received. Case-Laws Income Tax Fri, 03 May 1991 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=21602