This question would seem to be an easy one to answer but—like too many things in life—nothing is simple anymore. This is due to the absence of standardized rules on which to base the decision which will vary from one organization to another.
This subject was brought up by a reader recently and is one that keeps popping up. Some companies make up their own rules but most use the new tolerance the gage was made to, which can be a waste. Those that follow this path could receive a new gage that is on bottom limit which means a few millionths of an inch wear could render it a reject while another on top limit could have say, .0003” wear before it is rejected.