03 November 2008
it is my simple question to all where is the gratuity fund in the real sense if a person gets retair where he will ask for the gratuity.
who will pay the employee the gratuity
where is the gratuity in the balance sheet
Wht is the role of insurance company in this gratuity
Wht u think is the Gratuity liability of company or an asset of it
04 November 2008
The employer is liable to pay gratuity and the claim will be made to him. If the gratuity is administered through a fund he will authorise the fund to settle he gratuity lliability. THe insurance company if opted for as a fund manager, its role is that of managing the fund. Grtuity will be shown as a current liability in the balance sheet of the company based on the actuarial valuation of gratuity liability.
CAclubindia
