TaxTMI 
TaxTMI 
2016 (11) TMI 794
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....venue is about the claim allowed of the Gratuity Scheme created by the assessee and allowed under section 36(1)(v) of the Income-tax Act, 1961. 3. Brief facts noticed are that the respondent-assessee bank is a co-operative society doing banking business and prior to that was assessed as Jaipur Nagaur Anchalik Gramin Bank (sponsored by UCO Bank - a Government of India Undertaking). 4. The Assessing Officer, while examining the books of account and material on record, found that the assessee has claimed a deduction of Rs. 1,18,00,000, Rs. 1,23,93,264, and Rs. 3,60,00,000 respectively, towards payment by the assessee as an employer by way of contribution towards gratuity fund created by it for the exclusive benefit of its employees under an ....
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....tended that it was mandatory on the part of the assessee to have an approval of the gratuity fund created under section 36(1)(v) and the Act envisages that any contribution made in an approved gratuity fund by the Commissioner enures for deduction and otherwise not and admittedly in the instant case there was no approval, therefore, the Assessing Officer was well justified in disallowing the amount deposited in the gratuity fund. He further contended that neither it is allowable under section 36(1)(v) nor under section 37(1) of the Act, as held by the appellate authorities, and condition to allow the said gratuity fund is lacking, therefore, the order of the Tribunal is perverse. He further contended that even the so-called application whic....
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....he scheme 662 2. Contribution from employer side 100% 3. Whether more than 90% employees are employed in India Yes 4. Whether all the benefits granted by the fund shall be payable in India Yes We trust the informations shall be sufficient for your need. Yours faithfully, (Sd.) . . . . . . . General Manager". 9. On perusal of the above, it appears that hearing on the subject was going on in the aforesaid case and with reference to certain queries raised by the competent authority, two of the officers of the assessee company namely K. C. Gupta and Mrs. Ruchi Bhargava were deputed to discuss on the subject and this letter also contained some information sought by the competent authority. The claim of the learned co....