Income tax liability under provision of MAT shall be adjuted with TDS ae per 26AS,

I would like to clear that Provision under MAT govern the how will calculate the tax liability as per book profit.

and if you have deposited advance Tax and tds then you can setoff it again mat laibility.

Hello  All,- Sec 115JB(5) states that, save as otherwise provided all the other provisions will apply mutatis mutandis to MAT provision.

Sec 115JB (1)-Which states that for the purpose,  Book profit will be deemed to be the total income when Income tax payble as per normal computation is less than that of Book profit. Further when such a situation arises the tax shall be paid on such income that is the Book Profit.Further It startes with not with standing clause meaning MAT provision will be Strictly adhered to  if Income tax as per normal provision is less. than that of MAT

Sec 207- Tax Shall be payble in advance during any financial year in accordance with the provisions of Sec 208-219(both inclusive) in respect of the total income of the assesee which would be chargeble to tax for the assessement year immediatly following that  financial year such income being hereafter in this chapter called current  income

so, After analysing above two sections, it is clear that once mat is payble under any circumstances the amt of advance tax which will be considered is advance tax payble on Mat and not on normal computation of income tax hence Advance tax is payble on amt  of MAT Further  Non payment of which will attract the provisions of 234B & 234C( See case:- JCIT vs Rolta India Ltd (2011) 330 ITR 470 (SC) )

So in No Manner Mat can be set off against Advance tax or TDS asl per normal provisions.

It Can be Substanciated by an example

Estimated total income 1500000

Estimated Tax  450000

TDS As per AS 26AS 50000

Advance tax tobe paid 400000

Estimated Book Profit 3000000

Tax on above 555000

Since Mat is Applicable Income Tax Calculation is Ignored & Mat  Provisions Will be Applicable

MAT Liability can be adjusted against advance tax paid or TDS Credit of the same financial year

Originally posted by : CA AYUSH AGRAWAL
	Dear All, Yes, It Can Be Adjusted. Since The MAT 115JB & IT Are All Governed by One & Single Act, Income Tax act. See the Logic: If Say You Dont Adjust, The You Will Ask for 26AS Credit i.e TDS Refundable. Ultimate Result is One & Same.

Very Much logical...and true also....

I dont know why u guys are discussing it this much.. This is simple logic he has said and Mr. Hari Krishna can you give reason for your comments. It very funny that many people are saying that it cant adjusted. Now i can understand the quality new of CAs.

MAT payable shall be adjusted with TDS credit ,However logic will not always work with incometax provisions.

Yes Mat payble can be set off against TDS or advance tax paid. Government have different-diffrent head for  diffrent taxes there is no head for tax paid in mat.