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2013 (2) TMI 17 - HC - Income TaxProvision for retirement gratuity written back already stood allowed - Revenue invoked provisions of section 41(1) - Held that:- As decided in CIT Versus Sugauli Sugar Works Pvt. Limited [1999 (2) TMI 5 - SUPREME COURT] the obtaining by the assessee of a benefit by virtue of mere fact that the assessee has made an entry of transfer in his accounts unilaterally will not enable the Department to say that s.41 would apply and the amount should be included in the total income of the assessee. Thus unilateral act of the assessee in the present case in writing back the amount of gratuity of Rs. 32,39,929/- which was allowed as expenditure in the Assessment Year 1972-73 would not be treated as remission or cessation of the trading liability so as to attract the provisions of Section 41(1) and the principles laid in the case Sugauli Sugar Works (P.) Ltd. (supra) are squarely applicable - against revenue.
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