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2023 (10) TMI 192 - ITAT BANGALOREDisallowance of gratuity while processing return u/s 143(1) - actual payment during the assessment year under consideration, which is allowable u/s 37(1) - CIT(A) observed that auditor is required to call for and verify the details of contribution to gratuity fund, etc.- HELD THAT:- If the assessee has charged gross provision for gratuity to the profit as per profit & loss account, thereafter the assessee deducted actual gratuity payment assessee’s claim cannot be disallowed in principle. On the other hand, if the assessee has debited actual payment of gratuity in the account provision for gratuity, then the payment of gratuity already gets subsumed, thereafter, the assessee cannot once again claim actual payment of gratuity in the return of income as it would amount to double deduction. To verify this, we remit this issue to the file of AO to examine the provision for gratuity account along with payment of gratuity. After satisfying the treatment given by the assessee in his books of accounts, the claim of assessee to be examined. Accordingly, the issue is remitted back to the file of AO for fresh consideration. Denial of carried forward current year loss - contention of the ld. AR is that though AO quantified the carried forward of current year loss at the tune of Rs. 53,87,78,963/- in the end in Annexure- Schedule CFL {as computed u/s 143(1)} in column no.(xiv) – current year losses to be carried forward (xiv-xv) – mentioned as ‘0’, which is incorrect - In our opinion, the claim of assessee to carry forward current year loss to be Rs. 53,87,78,963/- without prejudice to our findings in earlier ground. Accordingly, the error crept in the intimation u/s 143(1) of the Act is to be corrected as current year loss to be carried forward at Rs. 53,87,78,963/- which is subject to our findings in ground no. 1. Ordered accordingly.
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