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2019 (8) TMI 1048 - AT - Income TaxAddition u/s 43B - bonus payable shown by the assessee - whether the same has not been paid on or before due date of filing return of income - HELD THAT:- Assessee has transferred the amount of bonus payable to bonus fund account of various branches in the month of May 2013 and thereafter, amount of bonus payable to employees has been transferred to their respective bank account in the month of May 2013. All these entries have been duly verified by the CIT(A) and no discrepancy has been pointed out by the DR before us, in respect of the amount transferred in the bank account of the various employees, which is appearing in the various pages of the paper-book filed by the assessee. In our opinion, the assessee has complied requirement of section 43B for payment of the bonus payable before due date of filing of return of income, which was 30/09/2013 in this case and accordingly, we uphold the finding of the CIT(A) on the issue in dispute. The ground of the appeal of the Revenue is accordingly dismissed. Addition of closing allowance - uncertain liabilities / expenses - whether the same is not found to be paid within the year under consideration and order for provision of Closing Allowance was passed on 24.06.2013, much after the end of year under consideration? - HELD THAT:- The assessee has claimed before us that the amount of closing allowance has been paid to the employees from year to year in percentage terms of salary and therefore duly quantifiable provision. DR also could not controvert this fact that the amount of closing allowance is quantifiable in respect of the each employee. It is also not in dispute that the amount was incurred wholly and exclusively for the purpose of the business. In our opinion, when amount of provision is quantifiable, same cannot be said as an unascertained liability. Accordingly, same is allowable under section 37(1) of the Act as incurred wholly and exclusively for the purpose of the business of the assessee. The ground of the appeal of the Revenue is accordingly dismissed.
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