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1972 (8) TMI 34 - ALLAHABAD HIGH COURT" Whether, on the facts and in the circumstances of the case and on a true construction of the Government notification dated April 27, 1961, it could be held that no liability accrued to the assessee-company for the payment of the gratuity for the assessment year under appeal ? " - contention put forward was that, under the notification an employee, who was removed from service for serious misconduct, was not entitled to any gratuity and to that extent the liability was contingent and uncertain. Now, such a case would indeed be rare and cannot convert the entire liability into a contingent one. At any rate that circumstance must have been taken into consideration in the actuarial valuation worked out by the actuary. In actuarial valuation all contingencies are taken into consideration before arriving at the discounted value of a liability like the present one - For the reasons stated above, we answer the question in the negative, in favour of the assessee
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