Meet Mody (Student) (112 Points)
20 November 2012
while computation of book profit for MAT calculation under sec 115JB do we have to include the income exempted under sec 10AA among the deductions from net profit as per schedule VI?
CA Ruben Balooni
(Professionalism ™)
(1324 Points)
Replied 21 November 2012
Yes, As per the Amemndments made by Finance Act,2011, MAT is now required to by paid on income exempt u/s 10(38) and income decuctible u/s 10AA. As per provisions of 115JB income exempt u/s10,11,12 shall be deducted while computed book profit (except 10(38) & 10AA) and expenses related to income which are exempt u/s10,11,12 (except 10(38) & 10AA) shall be added back, only if they are debited/credited in the P&L A/c.
Conclusion : You need to add deduction claimed u/s 10AA while computing book profit u/s 115JB.
- Ruben Balooni
Ravi Kumar Mahaur
(CA-FINAL)
(202 Points)
Replied 22 November 2012
Yes we have to include income u/s 10AA. Income u/s 10AA is liable to MAT. Also the income u/s 80-IA to 80-IE is also liable to MAT.
Jiral Savla
(Senior)
(35 Points)
Replied 29 November 2012
Yes, As per Finance Act,2011, MAT is now required to be paid on income decuctible u/s 10AA
Now MAT is required to be paid on following income
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