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2013 (5) TMI 79 - AT - Income TaxProvident Fund and ESI contribution - Allowability of deduction u/s 36(1)(5a) read with S. 2(24)(x) & S. 43(B) - Deduction of provision of gratuity - Grace period u/s.43B - Regarding Employees contribution to P.F. & E.S.I. - Held that:- The Hon'ble Delhi High Court in the case of CIT-vs- P M Electronics (2008 (11) TMI 3 - DELHI HIGH COURT) following the decision of the Hon'ble Supreme Court in the case of Vinay Cement (2007 (3) TMI 346 - Supreme Court of India ), has clearly laid down that no addition under section 36(1)(va) r.w.s. 2(24)(x) can be made in respect of employers/employees' contribution towards the provident fund payment and ESI payment. If the assessee makes the payment much before the due date before filing of the income-tax return under section 139(1) - We confirm the order of the CIT(A) on these two grounds - The Revenue's appeal stand dismissed. Regarding claim of Provision of Gratuity :- Rule 46A is applicable to additional evidence not to supporting evidence. The assessee filed before AO details of employees giving names, designation, identity and year of retirement in respect of all the employees for which gratuity provisions were made - The computation of details in respect of about 17 employees were enclosed for test check. This clearly denotes that the evidence/details of all 70 employees was filed but how the amount of provisions were calculated, were filed for only 17 employees. The detail calculation in respect of each employees in our opinion is supporting of evidence to the amount of gratuity provided in respect of each employee - No interference is called for in the order of the CIT(A) and we confirm the order of the CIT(A) deleting the addition - Revenue's Appeal is dismissed. Respectfully following our decision in respect of ground nos. 1 and 3 in ITA No.1251/Kol/2010 - We dismiss both the grounds taken in ITA No.1252/Kol/2010 - This appeal of the Revenue is also dismissed - The both the appeals filed by the Revenue are dismissed
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