1990 (8) TMI 50

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....s application under section 256(2) of the Income-tax Act, 1961, the Department requests this court to direct the Tribunal to refer the following three questions as questions of law: "1. Whether, on the facts and in the circumstances of the case, the Tribunal was right in law in holding that provision for gratuity of Rs. 44,00,000 being the amount of expenditure to be incurred in consequence of ....

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....138 ITR 91 ? The Tribunal found that the assessee was engaged in the activities of mining of magnesite and manufacturing batteries and sale of rubber and plastic products and had continued business operations even after the mines were taken over by the State of Tamil Nadu in the year 1978. In fact, this was the finding of the Commissioner (Appeals) which was confirmed by the Tribunal. The first....

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....eed to accept the proposal and the payment was made to the State Government on behalf of the employees. The gratuity was payable during the previous year itself. Question No. 2 cannot also be said to be a question of law arising out of the order of the Tribunal. According to the Department, the Tribunal, s decision is in conflict with the decision of this court in CIT v. W. T. Suren and Co. Ltd....