https://www.taxtmi.com/caselaws?id=28930 Additional bonus is deductible only if it accrues as a legally enforceable liability during the accounting year, arising from an understanding, adjustment, or agreement between employer and workmen under the Payment of Bonus Act and the Income-tax Act. A unilateral tentative provision by the assessee, without a bilateral arrangement, does not create an accrued liability for that year. The Tribunal's findings were incomplete on whether the payment reflected a genuine settlement or merely a unilateral decision, so the question was not decided on merits and was remitted for fresh factual determination. en-us Tue, 08 Sep 1981 00:00:00 +0530 Mon, 08 Mar 2010 17:00:35 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=28930 Additional bonus is deductible only if it accrues as a legally enforceable liability during the accounting year, arising from an understanding, adjustment, or agreement between employer and workmen under the Payment of Bonus Act and the Income-tax Act. A unilateral tentative provision by the assessee, without a bilateral arrangement, does not create an accrued liability for that year. The Tribunal's findings were incomplete on whether the payment reflected a genuine settlement or merely a unilateral decision, so the question was not decided on merits and was remitted for fresh factual determination. Case-Laws Income Tax Tue, 08 Sep 1981 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=28930