Gratuity Paid to Employee Classified as Salary, Deemed Expense allowable u/s 37(1) of Income Tax Act: ITAT [Read Order]

If gratuity was disbursed to an employee during his lifetime, it shall be regarded as a deemed allowable expense categorized under Section 37(1) of the Income Tax Act, 1961.
Gratuity - Employee Classified - Salary - Deemed Expense allowable us 37(1) of Income Tax Act - ITAT - TAXSCAN

In a recent ruling, the Kolkata bench of the Income Tax Appellate Tribunal ( ITAT ) highlighted that the  gratuity paid to an employee is classified as salary, hence deemed an allowable expense under Section 37(1) of the Income Tax Act, 1961. In the case at hand, the assessee was involved in the business of…

Your free access to Taxscan has Expired

To read the article, get a premium account.

Taxscan Premium

Why should you subscribe?
  • Enjoy our website without interruptions from advertisements
  • Receive Daily newsletters
  • Receive realtime Telegram/Whatsapp news updates
  • Download original Judgements / Order / Notifications / Circulars, etc
  • Enjoy exclusive entry fees to Simplified series. (Webinars, Seminars, masterclasses, etc.)
  ₹1599 + GST for 1 year

Subscribe Now

taxscan-loader