Accounting Provision

Please suggest me the following..

A company opting for 22% tax rate for F.Y 19-20. Mat Credit is standing in the BS. How should i writeoff and what will be the implications.

Replies (3)
Quick Summary
This discussion explores the accounting treatment of MAT credit for a company opting for the 22% tax rate in FY 19-20. The core question is whether to write off the MAT credit or carry it forward for future utilisation. While some suggest carrying it forward for up to 15 years, others point to Section 115BAA, which may require writing off the credit and preventing its transfer back to old provisions.

Carrry forward the MAT credit. You can utilise the same in further years in which tax liability as per normal provisions is more than tax liability as per MAT liability.
The MAT credit is allowed to carry forward for a period of 15 years. Unabsorbed MAT credit can be accumulated upto 15 years limit.

Are you sure?? According to provision of 115BAA i had read that we have to write off mat credit. We cannot utilise and can't shift to old provision again. 

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