Guide to Minimum Alternate Tax (MAT) & Alternate Minimum Tax (AMT)

This book provides a comprehensive analysis of Minimum Alternate Tax (MAT) & Alternate Minimum Tax (AMT).

The Present Publication is the 2nd Edition (2022) authored by Taxmann’s Editorial Board. The law stated in this book is amended by the Finance Act 2022, with the following noteworthy features:

[Discussions on Liability/Exemption to/from MAT] is included in this book
[Discussions on Liability to Pay AMT] is included in this book
[Computation of Profit & MAT] is discussed in light of the following:
Income-tax Act 1961
Income-tax Rules 1962
Relevant Case Laws
[Clause-wise Analysis of Audit Report in Form 29B] is discussed in this book
[Clause-wise Analysis of Audit Report in Form 29C] is discussed in this book
The detailed contents of the book are as follows:

Introduction
Who is liable to pay MAT
Book Profits
Net profit as per profit and loss account
Income-tax paid/payable/provision for income-tax
Amounts carried to reserves
Provisions for unascertained liabilities
Provisions for losses of subsidiary companies
Dividends paid or proposed
Expenditures related to tax-free incomes
Expenditures relatable to the share of income in AOP/BOI
Expenditures relatable to income of foreign company taxable at less than MAT rate
Notional loss of sponsors of REITs and InvITs on the exchange of shares in SPV for units of REIT/InvIT or due to change in the value of units or loss on the transfer of units
Expenditures relatable to royalty income in respect of patents taxable under Section 115BBF
Amount of depreciation
Amount of deferred tax and provision thereof
Amount or amounts set aside as provision for diminution in the value of any asset
Revaluation reserve in respect of assets retired/disposed of
Gain to the sponsor of REIT/InvIT on the transfer of units
Withdrawals from reserves or provisions
Tax-free income under Section 10/11/12
Share of income from AOP/BOI of which the company is a member
Income of foreign company taxable at less than MAT rate
Notional gain on the exchange of shares of SPV for units of REIT/InvIT & actual gain from transfer of such units
Loss to the sponsor of REIT/InvIT on the transfer of units
Royalty income of patentee – Company taxable under Section 115BBF @ 10%
Unabsorbed depreciation and loss bought forward in case of a company whose board of directors has been suspended by NCLT
Loss bought forward (excluding unabsorbed depreciation) and unabsorbed depreciation in case of a company whose CIRP application has been admitted under the Insolvency and Bankruptcy Code
Loss bought forward or unabsorbed depreciation
Profits of a sick industrial company
Amount of deferred tax credited to profit & loss account
Adjustments to book profit required in case in Ind AS companies
Computation of book profit of the ‘resulting company’ in case of a demerger
MAT credit
Applicability of audit under section 115JB
Audit Report: Para 1 of Form No. 29B
Audit Report: Para 2 of Form No. 29B
Audit Report: Para 3 of Form No. 29B
Audit Report: Annexure to Form No. 29B