https://www.taxtmi.com/caselaws?id=36017 The court held in favor of the assessee, a public limited company engaged in textile manufacturing, allowing the deduction of Rs. 29,637 for its estimated gratuity liability based on actuarial valuation for the assessment year 1968-69. The court determined that the method of accounting employed by the assessee, the actuarial valuation of the gratuity liability, and legal precedents supported the deduction under Section 28 of the Income Tax Act. The court found that the assessee had a present liability for gratuity, permitting the deduction against gross receipts to calculate net profits chargeable to income tax. en-us Tue, 05 Aug 1980 00:00:00 +0530 Thu, 18 Mar 2010 18:34:11 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=36017 The court held in favor of the assessee, a public limited company engaged in textile manufacturing, allowing the deduction of Rs. 29,637 for its estimated gratuity liability based on actuarial valuation for the assessment year 1968-69. The court determined that the method of accounting employed by the assessee, the actuarial valuation of the gratuity liability, and legal precedents supported the deduction under Section 28 of the Income Tax Act. The court found that the assessee had a present liability for gratuity, permitting the deduction against gross receipts to calculate net profits chargeable to income tax. Case-Laws Income Tax Tue, 05 Aug 1980 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=36017