Credit u/s 115jaa

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

22 September 2012 IN A.Y. 2006-07 I FILLED RETURN OF CO. AND PAID TAX UNDER SECTION 115JB. IN A.Y. 2008-09 & 2009-10 I PAID TAX AT NORMAL RATE BUT NOT TOOK CREDIT UNDER SECTION 115JAA. CAN WE TAKE CREDIT FOR THE SAME IN A.Y. 2012-13

gopikrishna

gopikrishna (Expert)
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11 October 2012 Dear Sir,

Any amount of tax paid u/s 115JB for the AY starting FY 2006-07 can be claimed as credit against tax on total income payable in subsequent 7 years.

so, I think, if the FY for which you have paid tax is 2005-06 then No MAT credit will be eligible for utilisation because the section 115 JB is applicable from FY 2006-07 onwards.

FYI:

AY means the FY immediately after PY

PY means the year on which income is earned

FY referred as PY in Accounting and taxation terminlogy.

Anyhow we will wait for the senior members to resolve the above query.