10 October 2007
Hello, Me had query regarding Mat Credit when is to be availed. Wheather the credit is to be taken after 30% Tax Calculated or after Normal Tax + Surcharge+Education Cess..
10 October 2007
For Ex : During the FY 05-06 your Regular Tax is Rs.50 and MAT Tax is Rs.100/- You would have paid Rs.100/- as Tax during the FY 05-06. From that Rs.100-Rs.50 (Regular Tax) You can avail Rs.50/- in subsequent year from Regular Tax.
10 October 2007
thats right that i can get 50 mat credit from current year...but my question is this credit of 50 is to be taken after calculating 30% tax or after 33.66% tax... when i was filling ITR 6..this credit is taken after calculating 30% tax..wheather this is right..
11 October 2007
When calculate income tax for corporate assessee the maximum of the MAT or Regular tax is considered without SC,EC and SHEC. After considering the maximum the SC and Cess are added. For the purpose of availment of MAT credit u/s 115JAA the information given in ITR 6 is perfectly correct. It should be considered before SC,EC,SHEC and 234B/C interest.
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