Deferred Tax Calculation

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If Taxable Business Income computed from Statement of Total Income is Profit and Book Profits shows Loss figure then, the MAT would be Zero as Book Profits is not available what would be the Deferred Tax then ? Asset or Liability?

Replies (1)

 Deferred tax assets depends on Item which have timing difference and virtual certainty.

It is not possible to calculate deferred tax with information you provided.

The difference of profit could be permanent difference. Example donation to parties who don't have 80 G. If difference is only because of this then deferred tax is not applicable. 


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