MAT CALCULATION

[CA siba prasad mishra]

hi there... i have a doubt..
  in MAT calculation we have to add  Income Tax paid or payable and the provisions therefor.
now the question is :if my client has paid TAX FOR  FOR A.Y 2007-08 in current year under protest. then whether it comes under the provision...shall i consider the same..

[camanojgupta]

yes u have to add it back

[shobha nagrani]

I agree with camanojgupta sir. s. 115JB requires "the amount of income-tax paid or payable, and the provision therefor" to be added to the book profit. The fact that it relates to another year or that it was paid under protest makes no difference.

The entire scope of section 115JB has been answered in JCIT(OSD), v. Shreyans Industries Ltd by Hon'ble ITAT CHANDIGARH BENCH 'A' and you will get decision here:

http://tax2.me/s-115jb-scope-in-view-of-retrospective-amendment-shreyans-industries-itat-chandigarh/