https://www.taxtmi.com/caselaws?id=27478 The High Court upheld the Tribunal's decision, allowing the deductibility of the incremental liability towards gratuity from the profit of the year. The court emphasized the accrual of liability with each year of service and the allowance of a provision on a scientific basis as a deduction in the year of assessment. Citing precedents such as Standard Mills Co. Ltd. v. CWT, Metal Box Co. of India Ltd. v. Their Workmen, and Vazir Sultan Tobacco Co. Ltd. v. CIT, the judgment supported the claim for deduction based on actuarial valuation, even if the actual payment occurs later. en-us Mon, 26 Jul 1982 00:00:00 +0530 Sat, 13 Feb 2010 11:07:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=27478 The High Court upheld the Tribunal's decision, allowing the deductibility of the incremental liability towards gratuity from the profit of the year. The court emphasized the accrual of liability with each year of service and the allowance of a provision on a scientific basis as a deduction in the year of assessment. Citing precedents such as Standard Mills Co. Ltd. v. CWT, Metal Box Co. of India Ltd. v. Their Workmen, and Vazir Sultan Tobacco Co. Ltd. v. CIT, the judgment supported the claim for deduction based on actuarial valuation, even if the actual payment occurs later. Case-Laws Income Tax Mon, 26 Jul 1982 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=27478