https://www.taxtmi.com/highlights?id=103172 Actuarially determined provision for accumulated non-encashable sick leave constitutes an accrued employee-benefit liability where employees earn paid future leave through services rendered during the relevant year. The employer's obligation to grant paid absence when leave is used remains a financial obligation, despite no employee right to receive cash for unused leave. Uncertainty over the employee or timing of future utilisation does not make a scientifically estimated liability contingent. As no payment is made in lieu of leave, leave-encashment payment conditions do not apply. The provision is deductible as an accrued business liability, and the disallowance was deleted. en-us Fri, 28 Aug 2026 20:48:27 +0530 Fri, 28 Aug 2026 20:48:27 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=103172 Actuarially determined provision for accumulated non-encashable sick leave constitutes an accrued employee-benefit liability where employees earn paid future leave through services rendered during the relevant year. The employer's obligation to grant paid absence when leave is used remains a financial obligation, despite no employee right to receive cash for unused leave. Uncertainty over the employee or timing of future utilisation does not make a scientifically estimated liability contingent. As no payment is made in lieu of leave, leave-encashment payment conditions do not apply. The provision is deductible as an accrued business liability, and the disallowance was deleted. Highlights Income Tax Fri, 28 Aug 2026 20:48:27 +0530 https://www.taxtmi.com/highlights?id=103172