The Tribunal held that, if the provisions towards gratuity and leave encashment were made with reasonable certainty on the basis of independent actuarial valuation, the same is allowable as deduction. (AY 2009 – 10)
Cochin International Airport Ltd. v. Dy. CIT (2019) 76 ITR 44 (SN) (Cochin)(Trib.)
S. 37(i) : Business Expenditure-Provisions for gratuity and leave encashment made with reasonable certainty on basis of independent actuarial valuation same is allowable. [S. 145]