https://www.taxtmi.com/caselaws?id=427359 The Tribunal allowed the appeal by the assessee (ITA No. 1332/Mum/2021) challenging the disallowance of provision for gratuity expenditure under section 250 of the Income Tax Act, 1961 for the assessment year 2014-15. The Tribunal emphasized that provisions for gratuity, even if not actual expenditure, were necessary under the law and accounting standards to reflect the true financial position. It was held that the provision for gratuity made by the assessee was in compliance with statutory requirements and accounting standards, and therefore, the Assessing Officer was directed to delete the addition and allow the provision for gratuity. en-us Mon, 05 Sep 2022 00:00:00 +0530 Tue, 06 Sep 2022 17:21:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=427359 The Tribunal allowed the appeal by the assessee (ITA No. 1332/Mum/2021) challenging the disallowance of provision for gratuity expenditure under section 250 of the Income Tax Act, 1961 for the assessment year 2014-15. The Tribunal emphasized that provisions for gratuity, even if not actual expenditure, were necessary under the law and accounting standards to reflect the true financial position. It was held that the provision for gratuity made by the assessee was in compliance with statutory requirements and accounting standards, and therefore, the Assessing Officer was directed to delete the addition and allow the provision for gratuity. Case-Laws Income Tax Mon, 05 Sep 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=427359