Minimum Alternate Tax

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Sumit Agrawal

Sumit Agrawal (Querist)
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19 June 2008 Is MAT payable by a company showing loss in its Profit & Loss A/c. If yes then how it is calculated

CA. Yayati Tyagi

CA. Yayati Tyagi (Expert)
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19 June 2008 yes, there are some adjustments to net profit shown in books to arrive at book profit over which mat is payable. if, after those adjustments loss turn to profit, mat is payable.

see sec. 115 JB

CA Vivek Jain

CA Vivek Jain (Expert)
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19 June 2008 Minimum Alternate Tax U/s 115JB
Profit as per Profit & Loss Account (286,783)
Less : Dividend 3 518
Less : Fringe Benefit Tax
Taxable MAT Profit (283,265)
TAX as per MAT (283,265)

CA. Sahendra Jaiswar

CA. Sahendra Jaiswar (Expert)
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20 June 2008 The MAt is Minimum Alternative Tax which is payable irrespective of Profit or Loss because it is the minimum tax payable at the rate of 10% on the book Profit calculated under Section 115JB which should be greater than the actual tax calculated on the Taxable Income.

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