Mat credit- doubt

CA Dauzi Pathan Imran Khan (Chartered Accountant in Practise)   (1678 Points)

04 July 2013  
Dear CCIans,
I would like to clear my 2 doubts I confronted in my practice regarding MAT Credit allowability. 

1) After taking credit of MAT pertaining to 1st Assessment Year and 2nd Assesment year , in 5th Assessment Year, when the Income tax computed as per Income Tax act is higher than 20.08%(18.5%+S.C+E.C+SHEC) of Book profits, the Income Tax payable is Tax calculated as per Income tax act. In paying the tax as per IT Act in 5th year, can we avail MAT credit of 1st and 2nd year collectively or else we should avail credit of 1st year only?
1st Year MAT Credit: 20,000
2nd Year MAT Credit : 15,000

5th Year, Tax payable is as per Income Tax act.
Can we avail credit of Total 35,000 or else we should take only 20,000 credit for 5th year?

2) As per Case CIT Vs Tulsyan NEC Ltd,(Supreme Court) the MAT credit available is difference between Normal tax liability and 115JB Tax liability. If the MAT credit is more than the difference, can we carry forward the remaining MAT credit for further 10 years?
1st year MAT Credit: 12,000
2nd year 115jb tax liability: 6000
2nd year tax normal tax liability (as per IT act) 8,000
difference: 2,000
MAT Credit utilised: 2,000. Remaining MAT Credit 10,000.
Can remaining MAT Credit 10,000 be carry forward to further 10 years or only for 9  years?
Hope my doubts are genuine and I conveyed it to all of you correctly,
Please revert as early as possible.