https://www.taxtmi.com/caselaws?id=22989 The court held that gratuity exempt under Section 10(10) should not be considered for disallowance under Section 40A(5). It was concluded that the unabsorbed depreciation from Lube India Ltd. should not be added back for computing the written down value of assets post-amalgamation. Additionally, the limit on expenditure for former employees should be Rs. 75,000 for a 15-month previous year. The assessee-company was justified in valuing the stock taken over from Caltex Oil Refining India Ltd. using its regular method, and no addition for undervaluation was warranted. en-us Tue, 17 Jul 1990 00:00:00 +0530 Tue, 15 Dec 2009 17:27:10 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=22989 The court held that gratuity exempt under Section 10(10) should not be considered for disallowance under Section 40A(5). It was concluded that the unabsorbed depreciation from Lube India Ltd. should not be added back for computing the written down value of assets post-amalgamation. Additionally, the limit on expenditure for former employees should be Rs. 75,000 for a 15-month previous year. The assessee-company was justified in valuing the stock taken over from Caltex Oil Refining India Ltd. using its regular method, and no addition for undervaluation was warranted. Case-Laws Income Tax Tue, 17 Jul 1990 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=22989