Provision for Gratuity

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Heman Chheda (Querist)
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17 June 2010 On what basis Gratuity must be calculated and provided in books of accounts? What areas have to be seen while making the provision for gratuity? Is der any ceiling limit for gratuity to be provided per employee?

Rasesh

Rasesh (Expert)
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17 June 2010 There is no monetary cieling limit for calculation of gratuity or making provision for the same in the books.

CA. BIJENDER KR. BANSAL

CA. BIJENDER KR. BANSAL (Expert)
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17 June 2010 for detailed anaylsis for provision for gratuity. Please read AS-15 issued by ICAI.

http://www.icai.org/resource_file/102451354-1400.pdf

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