Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: articles on VAT and GST in India :: TDS :: ACCOUNTING STANDARD :: form 3cd :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: due date for vat payment :: cpt :: TAX RATES - GOODS TAXABLE @ 4% :: VAT Audit :: empanelment :: VAT RATES :: list of goods taxed at 4% :: Central Excise rule to resale the machines to a new company :: ACCOUNTING STANDARDS :: ARTICLES ON INPUT TAX CREDIT IN VAT
 
 
Direct Tax »
 Hopeful of meeting direct tax collection target for this financial year: CBDT
 Bengaluru tops in income tax probes after demonetisation
 Income Tax department rejects black money disclosures of over Rs 2 lakh crore
 CBDT urges people to protect bank accounts from 'unscrupulous elements'
 No change in gold seizure norms in proposed I-T Law amendments
 Direct tax collection will get a long-term boost, Franklin Templeton says
 I-T Act amendments upset calculations of cash hoarders
 Claim tax benefit on costs incurred to evict tenants
 The Integrated Goods And Services Tax Act, 2016
 Here’s what Income Tax Department did leading up to demonetisation
 I-T department asks IDS declarants to pay tax by November 30

MAT will become futile once tax exemptions are gone: CBDT
March, 10th 2015

The concept of MAT (minimum alternative tax) will become "irrelevant" as all tax exemptions given to corporates are proposed to be phased out over a period of four years, a top Finance Ministry official said.

"If all exemptions go...so MAT itself will become irrelevant. There will be no difference between book profit and profit you offer for taxation purposes," Central Board of Direct Taxes (CBDT) Chairperson Anita Kapur told reporters here.

"The Finance Minister Arun Jaitley has said that within four years, all exemptions except some which will stay like for Andhra Pradesh and Telengana, which we have given recently, will be phased out," she said. When asked about West Bengal and Bihar, she said "it's still not part of the Finance Bill.

As of now, The Finance Minister has announced in his speech, we still have to get outline of what was there for Bihar." Under current Finance Bill, she said, "We have only done for Andhra Pradesh and Telengana. But in my view, once the exemption are gone, there is also need to be a call taken that there are some exemptions with sunset...so the Minister also needs to look at those which are going to be sunset, from which date they will sunset, whether the units continued to enjoy benefits."

During the course of the year, she said, "the Finance Minister will come out with the roadmap for which are the exemptions, when they are setting...it is a process, we have enough time to come out.

We hope to bring out a roadmap for what we want to do". In the Budget speech Jaitley proposed to bring down basic rate of Corporate Tax to 25 per cent from 30 per cent in the next four years.

"This process of reduction has to be necessarily accompanied by rationalisation and removal of various kinds of tax exemptions and incentives for corporate taxpayers, which incidentally account for a large number of tax disputes," he had said.

The Minimum Alternative Tax was originally brought into play to bring into the tax net large domestic corporate who did not pay taxes by making use of various incentive schemes.

The tax authorities had recently sent communications under the provision to foreign portfolio investors, asking them to explain why the provision should not apply to them. The current rate of MAT is 20 percent.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Enterprise Resource Planning Solutions ERP Solutions Enterprise Resource Planning Software Solutions ERP Software Solutions Supply Chain Management Solutions SCM Solutions Supply Chain Management Software Solutions SCM Software Solutions Enterprise Resource Planning Solutions India ERP Solutions India Enterprise Resource Planning Software Solutions India ERP Software Solutions India Supply Chain Management Solutions India SCM Solutions India Supply Chain Management Software Solutions India SCM Software Solutions India

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions