https://www.taxtmi.com/caselaws?id=292681 Bonus paid to employees, where the payment is linked to profits, does not form part of the wages or salary element of production cost for valuing closing stock. The Bombay HC held that the proportionate bonus could not be added to the cost price of closing stock because the agreements showed it was payable out of profits after the year-end and not as an ordinary manufacturing cost. The reference was answered against inclusion of bonus in stock valuation, in favour of the assessee, and the remaining questions were left unanswered because they did not survive. en-us Wed, 18 Oct 1961 00:00:00 +0530 Mon, 04 Jan 2021 18:39:47 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=292681 Bonus paid to employees, where the payment is linked to profits, does not form part of the wages or salary element of production cost for valuing closing stock. The Bombay HC held that the proportionate bonus could not be added to the cost price of closing stock because the agreements showed it was payable out of profits after the year-end and not as an ordinary manufacturing cost. The reference was answered against inclusion of bonus in stock valuation, in favour of the assessee, and the remaining questions were left unanswered because they did not survive. Case-Laws Income Tax Wed, 18 Oct 1961 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=292681