Hon’ble Allahabad High court has in the case of M/S Simbhauli Sugar Mills Ltd in ITA No 607 of 2011 has held that amendment is sec 43B is curative in nature and would apply retrospectively.
The judgement reads as underneath:-
Whether the claim made by the appellant under Section 43-B of the Act on the delayed payment towards contribution of gratuity fund for earlier years could be disallowed because such payment had not been paid before the due date for making the payment under the relevant law/ contract governing the Gratuity Fund.?
This very question has already been answered by this Court in favour of the assessee in Income Tax Appeal No.659 of 2007 (M/s Simbhaoli Sugar Mills Limited Vs. Additional Commissioner of Income Tax Range-1) following the decision of Hon’ble Apex Court in the case of CIT Vs. Alom Extrusions Ltd. reported in (2009) 319 ITR 306 (SC) wherein it has been held that in question relating to business expenditure, deduction of actual payment and contribution to provident fund where amendment is made to remove difficulty, it would have retrospective effect. The question of law is, therefore, answered in favour of assessee and against the department. The appeal is accordingly allowed.