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2020 (8) TMI 471 - ITAT CUTTACK
Revision u/s 263 - payment made to gratuity fund u/s 40A(7) disallowed - HELD THAT:- Payment made to LIC of India is not a provision but it is actual expenditure claimed under the gratuity contribution, which needs to be allowed as deduction. Therefore, the order passed by the AO u/s.143(3) was not erroneous and prejudicial to the interest of Revenue. In our opinion, the Pr.CIT is not justified in directing the AO to disallow the payment made to gratuity fund u/s.40A(7) of the Act, hence, the order passed by the Pr.CIT u/s.263 of the Act is hereby quashed. - Appeal of the assessee is allowed.