https://www.taxtmi.com/caselaws?id=36737 A gratuity liability created by a statutory notification was not treated as merely contingent, and it could be deductible in computing business income if capable of reasonable valuation. The assessee, however, had to prove the correct deductible amount with proper support. Because the claim was not backed by actuarial valuation or any recognised commercial accounting method, and the material on record did not permit a reliable computation of the discounted liability, the deduction was disallowed. The Tribunal was not required to make an independent factual inquiry to arrive at a figure the assessee had not established. en-us Mon, 28 Jan 1980 00:00:00 +0530 Wed, 24 Mar 2010 11:57:46 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=36737 A gratuity liability created by a statutory notification was not treated as merely contingent, and it could be deductible in computing business income if capable of reasonable valuation. The assessee, however, had to prove the correct deductible amount with proper support. Because the claim was not backed by actuarial valuation or any recognised commercial accounting method, and the material on record did not permit a reliable computation of the discounted liability, the deduction was disallowed. The Tribunal was not required to make an independent factual inquiry to arrive at a figure the assessee had not established. Case-Laws Income Tax Mon, 28 Jan 1980 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=36737