Provision for gratuity
This query is : Resolved
NEHACHANANA
(Querist)
08 February 2013
Please tell me that a company should make the provision for gratuity or not as provision for gratuity is not allowed u/s 40 of income tax Act. so the co.should make the provision for gratuity or not???
CA Kishore Tallam
(Expert)
08 February 2013
Books of accounts are prepared based on accounting principles but not based on the allowability of such expenses under income tax act.
So, gratuity has to be accrued in books irrespective of whether the same is allowed in IT or not.
So, gratuity has to be accrued in books irrespective of whether the same is allowed in IT or not.
Hemant Kumar
(Expert)
08 February 2013
Agree with expert
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Clarification on GST, TDS, and Accounting Provisions for Import/Export Commission Agents,profes. ser
- GSTR9 Annual Return
- Employee secondment
- Clarification on GST, TDS, and Accounting Provisions for Import/Export
- Reward for festival
- Ito add credit side of bank
- Form 144 TDS Return Validation error
- Closer of business and itc of capital goods
- Capital gain on commercial property and investment in residential property
- Rectification under processing even after 6 months cpc portal
- RCM and same line
- TDS Return Statement Status
- ARCA LOGIN
- Appointment of Auditor By Form ADT-1
- Tally: Imported bank entries do not show up in manual reconciliation
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
