Even if for instance a company avails deduction us 10AA, or 80I series still it needs to pay MAT @ 15% on book profits. So can't we say that Tax is to be paid even if Income is exempt by way of deduction?
literally no income is exempt
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Income related deductions and MAT
Replies (3)
Quick Summary
Yes, MAT is still payable...but in future you can take credit of MAT, which is paid by you...
As Per My View, MAT credit is actual benifit, otherwise, for you literally no income Exempt if you are not able to take benefit of MAT credit.i.e if it's lapse without use.
As Per My View, MAT credit is actual benifit, otherwise, for you literally no income Exempt if you are not able to take benefit of MAT credit.i.e if it's lapse without use.
Thanks a lot
so the crux is MAT credit is useful after the Period of availing deduction expires and when your profits start getting taxable @ normal rates
so the crux is MAT credit is useful after the Period of availing deduction expires and when your profits start getting taxable @ normal rates
Yes, Exactly.....
And this MAT credit is allowed to be carry forward for a period of 15 financial years. So, You have a 15 Years of time ..
And this MAT credit is allowed to be carry forward for a period of 15 financial years. So, You have a 15 Years of time ..
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