Allowing the appeal the Court held that where the assessee made a provision towards contribution to an approved gratuity fund maintained with LIC and duly approved by the CIT, the High Court held that the deduction was allowable under S. 40A(7)(b). It was observed that while S. 43B is a general provision dealing with deduction on actual payment, S. 40A(7)(b) is a specific provision governing contributions to an approved gratuity fund. Since S. 40A(7)(b) expressly covers approved gratuity funds, there was no conflict in applying it in preference to the generic reference in S. 43B. The Tribunal was therefore not justified in disallowing the claim, especially when identical payments had been accepted in earlier and subsequent years. (AY.2008-09)