Mat & deffered tax

This query is : Resolved

Rajesh Agarwal (Querist)
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30 July 2011 i WANT TO KNOW tHAT WHAT IS mAT & dEFFERED TAX & HOW IT IS CALCULATED

i WANT TO KNOW ABOUNT DEPRECIATION RATES ACCORDING TO cOMPANY ACTS

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
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30 July 2011 Deferred tax is the calculation of tax difference between IT profit and actual profit. MAT is the calculation of Income tax calculation where the situation arise the loss as per books but profit as per book profit under the Income tax act

Depreciation rates specified by the companies act is minimum rates prescribed by the act. so what ever you are providing depreciation should not be less then that

Depreciation rates provided in the Income tax act is the maximum permissible rate so depreciation claim should not be more than that