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TMI Blog2015 (10) TMI 1506X X X X Extracts X X X X X X X X Extracts X X X X ..... ng the addition of Rs. 6037000/- being made by the Assessing Officer on account of provisions for gratuity and leave encasement." 3. We have heard the argument of both the sides and carefully perused the relevant material placed on record, inter-alia, assessment order, order of the CIT(A) dated 12/7/2013, paper book filed by the assessee spread over 34 pages and impugned order of the CIT(A) dated 21/08/2013for A.Y. 2008-09 passed u/s 154 of the Income Tax Act, 1961 (for short the Act). 4. The ld. Departmental Representative (DR) pointed out that the CIT(A) in his order dated 21/08/2013 passed u/s 154 of the Act deleted the addition made on account of provision for Gratuity and leave encashment on unjustified and incorrect premise. Therefo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... so recorded that the provision was computed on the basis of a certificate given by actuarial. This clearly established that the provision was based on a scientific mythodology and certified by a specialist. This aspect has also been mentioned itself in the body of the appellate order. In view of these facts, the issue is clearly covered in favour of the appellant by the decisions of Rotork Controls Ltd. 314 ITR (SC) and, therefore, it appears to be a mistake apparent from record. 3. After considering the rectification application of the AR as well as the details in the appellate order, it appears that through oversight this aspect has not been adjudicated by considering this fact which is also mentioned in the above order itself. According ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessee. 8. In the present case, the assessee by way of scientific methodology had established that the impugned provisions were recognized by using a substantial scientific methodology and estimation which was also certified by an actuarial specialist. In this situation, the provision for gratuity and leave encashment made by the assessee are held to be fully explained or sustainable and the same is allowable as per ratio laid down by the Hon'ble Apex Court in the case of Rotork Controls (supra). Accordingly, we are unable to see any infirmity or any other valid reason to interfere with the impugned order and we upheld the same. Accordingly, sole ground of the Revenue being devoid of merits being dismissed. 9. In the result, the app ..... X X X X Extracts X X X X X X X X Extracts X X X X
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