Minimum Alternate Tax
This query is : Resolved
24 October 2009
Profit as per P&L a/c = 200000.00
Depreciation charged to P&L = 15000.00
amount credited to P&L from
Revaluation Reserve = 6000.00
Depreciaiton on WDV basis @ 10%:
opening WDV of asset = 150000.00
Rs.50000.00 included in WDV for revaluation.
For the purpose of section 115JB of the income tax act, what will be Book Profit?
Depreciation charged to P&L = 15000.00
amount credited to P&L from
Revaluation Reserve = 6000.00
Depreciaiton on WDV basis @ 10%:
opening WDV of asset = 150000.00
Rs.50000.00 included in WDV for revaluation.
For the purpose of section 115JB of the income tax act, what will be Book Profit?
24 October 2009
is the following working is correct:-
Book Profit: = 200000.00
Add: Depreciaiton = 15000.00
-----------
215000.00
Less:
amount of reserve (revaluation reserve) credited to P&L a/c [explanation (i) to section 115JB(2)] = 6000.00
amount of depreciation excluding the deprecitaion on account of revaluation = 10000.00
amount of revaluation reserve credited to P&L a/c not exceeding deprecitaion on account of revaluation = 5000.00
----------
194000.00
-------
Book Profit: = 200000.00
Add: Depreciaiton = 15000.00
-----------
215000.00
Less:
amount of reserve (revaluation reserve) credited to P&L a/c [explanation (i) to section 115JB(2)] = 6000.00
amount of depreciation excluding the deprecitaion on account of revaluation = 10000.00
amount of revaluation reserve credited to P&L a/c not exceeding deprecitaion on account of revaluation = 5000.00
----------
194000.00
-------
25 October 2009
Superb... Very Well done.. It is absolutely correct. U can also refer to the Illustration given in Dr. Vinod k. Singhanias' Direct Taxes.
25 October 2009
is double reduction on account of credit to P&L from revaluation a/c is permissible?
25 October 2009
Anshu,
It is not double reduction... its different on either cases...
1st reduction, u ve done is for the credit u ve made to PnL
2nd, being the dep on rev...
It is not double reduction... its different on either cases...
1st reduction, u ve done is for the credit u ve made to PnL
2nd, being the dep on rev...
25 October 2009
ist reduction is for withdraw from revaluation reserve as whole amount.
2nd reduction is for withraw from revaluaiton reserve as amount relatable to depreciation on account of revaluation.
am i right?
2nd reduction is for withraw from revaluaiton reserve as amount relatable to depreciation on account of revaluation.
am i right?
27 October 2009
so it is double reduction on account of amount of revaluation reserve credited to P&L a/c relatable to depreciation on amount of revaluation.
03 August 2024
https://docs.google.com/document/d/1WkZQr5stIy9kKM0b63s3hYEKgF4BN2zqkyvCzQdD8P0/edit?usp=sharing
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Tax Audit Applicability – Newly Formed Partnership Firm with Profit Below 6%/8%
- TDS CREDIT MISMATCHING
- Buy back of shares u/s69
- Unregistered suppliers utility
- Difference between Date of Payment and Date of Deduction?
- EXPORT COMMERCIAL INVOICE HSN CODE
- LIC maturity claim whether taxable
- Journal entry of busniess expenses
- ADDITION OF CHALLAN IN TDS RETURN FORM 140
- Need Professional Opinion - AY 2012-13 Old Demand & AY 2026-27 Refund Adjustment
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
- LLP audit under companies act
- Experienced CA recommendation from Kolkata for FNO return filing
- Interest Reporting in Form 168
- Sales of goods of amount Rs77 lakhs to a party
- Tax Demand of ₹4,650 for AY 2026-27
- Concept of Vendor and customner reconciliation
- Mistake in e-invoice identified after 24 hours
- EXPORT PAYMENT
- NRI ITR2 account in 2025-26.
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
