“minimum alternate tax”

Special Rate ProvisionsSection 115JBSection 115JB222 judgments

The decision most relied on for minimum alternate tax is ACIT v. Vireet Investment Pvt. Ltd. (82 Taxmann.com 415), cited in 789 judgments on BharatTax.

Leading authorities on minimum alternate tax

ACIT v. Vireet Investment Pvt. Ltd.

82 Taxmann.com 415 · 2017 · High Court

789

citing judgments

Disallowance computed under Section 14A, read with Rule 8D, cannot be added to book profits under Section 115JB for Minimum Alternate Tax (MAT) purposes. Additionally, for Section 14A disallowance, only investments that yielded exempt income during the year are considered for calculating their average value.

Apollo Tyres Ltd. v. CIT

255 ITR 273 · 2002 · Supreme Court

657

citing judgments

For the purpose of computing book profits under Section 115J, arrears of depreciation, including those arising from assets working extra shifts, are a necessary charge on profits if debited to the profit and loss account and are allowable as such.

CIT v. Yokogawa India Ltd.

341 ITR 385 · 2012 · High Court

270

citing judgments

A provision for doubtful debts cannot be added back while computing book profits under Section 115JB of the Income-tax Act for Minimum Alternate Tax (MAT) purposes.

PCIT v. Ankit

416 ITR 591 · 2019 · High Court

125

citing judgments

Capital receipts, including interest subsidy received under schemes like TUF, are excluded when computing book profits under Section 115JB of the Income Tax Act. This principle also extends to the reduction of provisions written back from book profits for MAT purposes.

Ajanta Pharma Ltd. v. CIT

327 ITR 305 · 2010 · Supreme Court

citing judgments

Section 115JB is a self-contained code for computing book profit, which relies on audited financial statements subject to adjustments under Explanation 1. Restrictions on export profit deductions under Section 80HHC(1B) for normal tax computation do not automatically apply when computing book profits under Section 115JB.

CIT v. Echjay Forgings (P) Ltd.

251 ITR 15 · 2001 · High Court

citing judgments

Wealth tax paid by an assessee cannot be added back to net profit for the purpose of computing book profit under section 115J or section 115JB, as wealth tax is not included in the definition of 'income-tax' under the Explanation to these sections.

Indo Rama Synthetics (I) Ltd. v. CIT

330 ITR 363 · 2011 · Supreme Court

citing judgments

For Minimum Alternate Tax (MAT) under Section 115JB, the book profit must reflect the true working results of the company. Capital receipts that are not income cannot be included in book profit, and adjustments based on notes on accounts can be made to arrive at the real profit.

Rain Commodities Ltd. v. DCIT

41 DTR 449 · 2010 · ITAT

citing judgments

The ITAT Special Bench in Rain Commodities Ltd. held that certain capital receipts, such as forfeited share warrants, if credited to the profit and loss account, are liable for book profits tax under Section 115JB (Minimum Alternate Tax).

Judgments citing minimum alternate tax

Fine Estates Private Limited, Mumbai vs. PCIT-2, Mumbai

ITA 111/MUM/2024[2018-19]Status: DisposedITAT Mumbai01 Aug 2024AY 2018-19

Bench: Shri B R Baskaran, Am & Ms. Kavitha Rajagopal, Jm

Section 10Section 115JSection 143(1)Section 143(2)Section 143(3)Section 263Section 64

from partnership firm while computing the business income under the regular provisions of the Act and had also filed computation of Minimum Alternate Tax (MAT for short) u/s. 115JB of the Act during the assessment proceeding which was duly enquired and examined by the ld. A.O. who in the assessment

DCIT, Circle-5(1)(1), Mumbai vs. Dahejharbour and Infrastructure Pvt. Ltd, Mumbai

In the result, appeal of the assessee is allowed as indicated above

ITA 2792/MUM/2024[2016-17]Status: DisposedITAT Mumbai30 Jul 2024AY 2016-17

Bench: Shri Pavan Kumar Gadale, Jm & Ms Padmavathy S, Am

For Appellant: Shri Shailesh Bandi, CAFor Respondent: Shri Nayanjyoti Nath, Sr. DR

Section 115JSection 143(1)

section 115JB of the Act. Since the tax payable under the normal provisions of the Act was higher than the tax payable under Minimum Alternate Tax (MAT) provisions the assessee paid tax as per the normal provision claiming credit under the provisions of section 115JAA of the Act (MAT Credit

Trafigura India Pvt Ltd, Mumbai vs. PCIT-6, Mumbai

In the result, the appeal filed by the assessee is allowed

ITA 1131/MUM/2024[2018-19]Status: DisposedITAT Mumbai23 Jul 2024AY 2018-19

Bench: Shri Pavan Kumar Gadale & Shri Ratnesh Nandan Sahay, Accountat Member Trafigura India Pvt Ltd., Vs. Pr. Cit-6 Unit No.1101, A-Wing, 501, 5Th Floor, Aaykar Plot No. C, 66G Block, Bhavan, Mg Road, Bkc, Mumbai – 400051. Mumbai – 400020. "थायी लेखा सं./जीआइआर सं./Pan/Gir No. : Aadct3128N Appellant .. Respondent Appellant By : Shri Madhur Agrawal.Ar Respondent By : Shri Biswanath Das.Cit Dr Date Of Hearing 03.07.2024 Date Of Pronouncement 25.07.2024 आदेश / O R D E R Per Pavan Kumar Gadale, Jm: The Assessee Has Filed The Appeal Against The Order Of The Pr. Commissioner Of Income Tax (Pr.Cit)-6, Mumbai Passed U/S 263 Of The Act. The Assessee Has Raised The Following Grounds Of Appeal:

For Appellant: Shri Madhur Agrawal.ARFor Respondent: Shri Biswanath Das.CIT DR

Section 115JSection 143(3)Section 263

Binani Industries Ltd, [2017] 82 taxmann.com 320 (Kolkata-Trib) held as under: The assessee------------------ Section 115JB of the Income-tax Act, 1961 Minimum - alternate tax (Depreciation/brought forward loss, unabsorbed) - Assessment year 2009-10 - Losses (both cash loss and depreciation loss) would continue to remain in books of account till they ... Airlines Vs. DCIT, [2021] 127 taxmann.com803 (Mum-Trib) held as under: Section 115JB, read with section 32, of the Income-tax Act, 1961 Minimum alternate tax Payment of (Unabsorbed depreciation) - Assessment year2014-15 Whether losses (both cash loss and depreciation loss) would continue to remain in books of account till

M/S Universal Drinks Pvt . Ltd., Nagpur vs. A, C.I.T Cir. -2, Nagpur

ITA 184/NAG/2016[2004-05]Status: DisposedITAT Nagpur15 Jul 2024AY 2004-05

Bench: Shri V. Durga Rao & Shri K.M. Roy, Accountant, Member

For Appellant: Shri Rajesh Loya a/wFor Respondent: Shri Abhay Y. Marathe

Section 115Section 115J

allowed the deduction of ` 14,52,500, towards loss on sale of shares as deduction from the book profit. He computed the Minimum Alternate Tax on ` 71,80,391. We find from the Profit & Loss A/c that there is a separate gain on sale of shares

Assistant Commissioner of Income Tax, Circle-3(4), Mumbai vs. Reliance Industries Limited, Mumbai

ITA 1872/MUM/2024[2014-15]Status: DisposedITAT Mumbai10 Jul 2024AY 2014-15

Bench: Shri Satbeer Singh Godara & Shri Girish Agrawal

For Appellant: Shri Nimesh VoraFor Respondent: Smt. Sanyogita Nagpal, CIT-DR

Section 115JSection 143(3)Section 271(1)(c)Section 274

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI “D” BENCH : MUMBAI BEFORE SHRI SATBEER SINGH GODARA, JUDICIAL MEMBER AND SHRI GIRISH

M/S Ludhiana Leasing Pvt. Ltd., Chandigarh vs. DCIT, CC-II, Chandigarh

In the result, the appeal of the assessee is treated as partly allowed

ITA 241/CHANDI/2023[2019-20]Status: DisposedITAT Chandigarh21 May 2024AY 2019-20

Bench: Shri Sanjay Garg & Shri Vikram Singh Yadavआयकर अपील सं./ Ita No. 241/Chd/2023 "नधा"रण वष" / Assessment Year : 2019-20 M/S Ludhiana Leasing Pvt.Ltd., बनाम The Dcit, Central Circle-Ii, #168, Sector 8, Chandigarh Chandigarh "थायी लेखा सं./Pan No: Aaacl6365N अपीलाथ"/Appellant ""यथ"/Respondent

For Appellant: Shri Tej Mohan Singh, AdvocateFor Respondent: Shri Rohit Sharma, CIT DR

Section 115J

amount in the book profits, therefore, the Assessee was liable to include the said amount in its profit and loss account under the Minimum Alternate Tax (MAT) provisions u/s 115JB of the I.T. Act. 5. Before us, the ld. Counsel for the Assessee submitted that the profit from the sale

Modi Entertainment Ltd vs. DCIT Circle 5 (1)

In the result, the appeal of the assessee on this ground is dismissed

ITA 3051/DEL/2007[2001-2002]Status: DisposedITAT Delhi12 Apr 2024AY 2001-2002

Bench: Sh. Saktijit Deydr. B. R. R. Kumar

For Appellant: Sh. Rohit Garg, AdvFor Respondent: Sh. Sanjay Kumar, Sr. DR

Section 10(33)Section 115JSection 143(3)Section 14ASection 2Section 4

Question No.6 concerns deletion of addition of Rs.89,00,000 made by the AO for computation of the income for the purposes of Minimum Alternate Tax ('MAT') under Section 115 JB of the Act. This pertained to the expenditure incurred for earning exempt income under Section 14A read with Rule

M/S. Patanjali Foods Ltd (Formerly Known As Ruchi Soya Industries Ltd), Mumbai vs. Dy Comm of Income Tax- Central Circle-7(2), Mumbai

In the result, the appeal and cross objections of the assessee are partly allowed and the appeals of the revenue are dismissed

ITA 320/MUM/2023[2012-13]Status: DisposedITAT Mumbai05 Apr 2024AY 2012-13

Bench: Shri Aby T. Varkey, Jm & Shri S Rifaur Rahman, Am आयकर अपील सं/ I.T. A. No. 1172/Mum/2023 (निर्धारण वर्ा / Assessment Year: 2010-11) & आयकर अपील सं/ I.T. A. No. 1175/Mum/2023 (निर्धारण वर्ा / Assessment Year: 2012-13) & आयकर अपील सं/ I.T. A. No. 1176/Mum/2023 (निर्धारण वर्ा / Assessment Year: 2012-13)

For Appellant: Shri S. S. Nagar & Shri BFor Respondent: Dr. Mahesh Akhade (DR)

Section 132Section 143(2)Section 153A

IN THE INCOME TAX APPELLATE TRIBUNAL “C” BENCH, MUMBAI BEFORE SHRI ABY T. VARKEY, JM AND SHRI S RIFAUR RAHMAN

DCIT, CC-7(2), Mumbai vs. M/S. Patanjali Foods Ltd., ( Formerly Known As Ruchi Soya Industries Ltd, Mumbai

In the result, the appeal and cross objections of the assessee are

ITA 1176/MUM/2023[2012-13]Status: DisposedITAT Mumbai05 Apr 2024AY 2012-13

Bench: Shri Aby T. Varkey, Jm & Shri S Rifaur Rahman, Am आयकर अपील सं/ I.T. A. No. 1172/Mum/2023 (निर्धारण वर्ष / Assessment Year: 2010-11) & आयकर अपील सं/ I.T. A. No. 1175/Mum/2023 (निर्धारण वर्ष / Assessment Year: 2012-13) & आयकर अपील सं/ I.T. A. No. 1176/Mum/2023 (निर्धारण वर्ष / Assessment Year: 2012-13) Dcit, Central Circle-7(2) Room No. 637, 6Th Floor, Aayakar Bhavan, M. K. Road, Mumbai-400020. बनाम / M/S. Patanjali Foods Ltd Vs. (Formerly Known As Ruchi Soya Industries Ltd) 616, Tulsiani Chambers, Nariman Point, Mumbai- 400021. Cross Objection No.51/Mum/2023 (Arising Out Of I.T. A. No. 1172/Mum/2023) (निर्धारण वर्ष / Assessment Year: 2010-11) M/S. Patanjali Foods Ltd (Formerly Known As Ruchi Soya Industries Ltd) 616, Tulsiani Chambers, Nariman Point, Mumbai- 400021. बनाम / Dcit, Central Circle-7(2) Vs. Room No. 637, 6Th Floor, Aayakar Bhavan, M. K. Road, Mumbai-400020. & आयकर अपील सं/ I.T. A. No. 320/Mum/2023 (निर्धारण वर्ष / Assessment Year: 2012-13) M/S. Patanjali Foods Ltd (Formerly Known As Ruchi Soya Industries Ltd) बनाम / Vs. Dcit, Central Circle-7(2) Room No. 637, 6Th Floor, Aayakar Bhavan, M. K. Road, Mumbai-400020. 616, Tulsiani Chambers, Nariman Point, Mumbai- 400021. स्थायी लेखा सं./जीआइआर सं./Pan/Gir No. : Aaaci1220M 2

For Appellant: Shri S. S. Nagar & Shri BFor Respondent: Dr. Mahesh Akhade (DR)

Section 132Section 143(2)Section 153A

IN THE INCOME TAX APPELLATE TRIBUNAL “C” BENCH, MUMBAI BEFORE SHRI ABY T. VARKEY, JM AND SHRI S RIFAUR RAHMAN

DCIT, CC-7(2), Mumbai vs. M/S. Patanjali Foods Ltd., ( Formerly Known As Ruchi Soya Industries Ltd, Mumbai

ITA 1175/MUM/2023[2012-13]Status: DisposedITAT Mumbai05 Apr 2024AY 2012-13

For Appellant: Shri S. S. Nagar & Shri BFor Respondent: Dr. Mahesh Akhade (DR)

Section 132Section 143(2)Section 153A

IN THE INCOME TAX APPELLATE TRIBUNAL “C” BENCH, MUMBAI BEFORE SHRI ABY T. VARKEY, JM AND SHRI S RIFAUR RAHMAN

DCIT, CC-7(2), Mumbai vs. M/S. Patanjali Foods Ltd., ( Formerly Known As Ruchi Soya Industries Ltd, Mumbai

In the result, the appeal and cross objections of the assessee are partly allowed and the appeals of the revenue are dismissed

ITA 1172/MUM/2023[2010-11]Status: DisposedITAT Mumbai05 Apr 2024AY 2010-11

For Appellant: Shri S. S. Nagar & Shri BFor Respondent: Dr. Mahesh Akhade (DR)

Section 132Section 143(2)Section 153A

IN THE INCOME TAX APPELLATE TRIBUNAL “C” BENCH, MUMBAI BEFORE SHRI ABY T. VARKEY, JM AND SHRI S RIFAUR RAHMAN

Intertek India Private Limited, New Delhi vs. DCIT, Circle-10(1), Delhi

In the result, appeal is partly allowed

ITA 2014/DEL/2022[2018-19]Status: DisposedITAT Delhi20 Mar 2024AY 2018-19

Bench: Shri Saktijit Dey, Vice- & Shri Pradip Kumar Kediaassessment Year: 2018-19

Section 143(3)Section 144BSection 144C(3)

dismiss the ground raised by the assessee. 26. In ground no. 13, the assessee has raised the issue of incorrect computation of Minimum Alternate Tax (MAT) liability. 17 | P a g e AY: 2018-19 27. Having considered rival submissions, we restore the issue to the Assessing Officer with

The ACIT, Circle-1(1)(1), Vadodara vs. Gujarat Urja Vikas Nigam Limited, Vadodara

In the result, the appeal of the assessee is allowed for statistical purposes and the appeal filed by the Revenue is partly allowed for statistical purposes

ITA 178/AHD/2023[2018-19]Status: DisposedITAT Ahmedabad15 Mar 2024AY 2018-19

Bench: Smt. Annapurna Gupta & Ms. Madhumita Roy

For Appellant: Respondent by : Shri Akhilendra Pratap Yadaw, CIT DRFor Respondent: Shri Akhilendra Pratap Yadaw, CIT DR

Section 143(3)Section 14ASection 234ASection 270A

Question No.6 concerns deletion of addition of Rs.89,00,000 made by the AO for computation of the income for the purposes of Minimum Alternate Tax (MAT) under section 115JB of the Act. This pertained to the expenditure incurred for earning exempt income under section 14A read with Rule

Gujarat Urja Vikas Nigam Limited, Vadodara vs. The Dy. Commissioner of Income Tax, Circle-1(1)(1), Vadodara

In the result, the appeal of the assessee is allowed for statistical purposes and the appeal filed by the Revenue is partly allowed for statistical purposes

ITA 139/AHD/2023[2018-19]Status: DisposedITAT Ahmedabad15 Mar 2024AY 2018-19

Bench: Smt. Annapurna Gupta & Ms. Madhumita Roy

For Appellant: Respondent by : Shri Akhilendra Pratap Yadaw, CIT DRFor Respondent: Shri Akhilendra Pratap Yadaw, CIT DR

Section 143(3)Section 14ASection 234ASection 270A

ACIT, CC- 3(4), Kolkata vs. M/S. Himatsingka Seide Limited, Bangalore

In the result, appeal of the assessee in IT(SS)A No

ITA 785/KOL/2018[2008-09]Status: DisposedITAT Kolkata15 Mar 2024AY 2008-09

Bench: Shri Sanjay Garg & Shri Girish Agrawalit(Ss)A No.17/Kol/2018 Assessment Year: 2008-09 Himatsingka Seide Ltd. Deputy Commissioner Of 10/24, Kumara Krupa Road, High Vs. Income Tax, Central Circle- Grounds, Bangalore-560001. Xvi, Kolkata. (Pan: Aaach3507N) (Appellant) (Respondent) & It(Ss)A No.20/Kol/2018 Assessment Year: 2008-09 Assistant Commissioner Of Himatsingka Seide Ltd. Vs. Income-Tax, Central Circle-3(4), Kolkata. (Appellant) (Respondent) & Assessment Year: 2008-09 Assistant Commissioner Of Himatsingka Seide Ltd. Vs. Income-Tax, Central Circle-3(4), Kolkata. (Appellant) (Respondent)

For Appellant: Shri Nageswar Rao, Sr. AdvocateFor Respondent: Shri Abhijit Kundu, CIT, DR

Section 143(3)Section 14ASection 153ASection 271Section 92C

cannot be read into the provisions of section 115JB of the Act pertaining to computation of book profits by levy of Minimum Alternate Tax (MAT) and there is no express provision in clause (f) of Explanation 1 to section 115JB of the Act to that extent. For the aforementioned reasons

M/S. Prakash Industries Ltd, New Delhi vs. ACIT, Hisar

In the result, the appeal of the assessee in ITA No

ITA 1389/DEL/2014[2007-08]Status: DisposedITAT Delhi04 Mar 2024AY 2007-08

Bench: Shri N.K. Billaiya & Ms Astha Chandra

For Appellant: Shri Ajay Wadhwa, AdvFor Respondent: Shri Vivek Vardhan, Sr. DR

Section 115JSection 143(3)Section 154Section 205(1)(b)Section 234B

Appeals) holding that interest under section 234B and section 234C of the Act was not chargeable with respect to tax liability determined under minimum alternate tax (MAT)? 17. The relevant findings read as under: “32. This brings us to the second question which deals with charging of interest under sections ... relevant point of time Karnataka High Court had held that assessee was not required to pay advance tax in respect of minimum alternate tax (MAT), non- payment of advance tax with respect to the liability under MAT would not attract levy of interest under sections 234B and 234C

Gujarat Urja Vikas Nigam Ltd, Vadodara vs. The ACIT, Cirecle-1(1)(1), Vadodara

In the result, the appeal of the assessee is allowed for statistical purposes and the appeal filed by the Revenue is partly allowed for statistical purposes

ITA 318/AHD/2020[2016-17]Status: DisposedITAT Ahmedabad29 Feb 2024AY 2016-17

Bench: Shri Waseem Ahmed & Ms. Madhumita Roy

For Appellant: Shri M. J. Shah, A.R. & Shri Jimi Patel , A.RFor Respondent: Shri Sudhendu Das, CIT DR

Section 143(3)Section 14ASection 234ASection 271(1)(c)

Torrent Pharmaceuticals Ltd., Ahmedabad vs. ACIT, Circle-4(1)(2), Ahmedabad

In the result appeal of the Revenue is hereby partly allowed

ITA 1172/AHD/2019[2015-16]Status: DisposedITAT Ahmedabad26 Feb 2024AY 2015-16

Bench: Shri Waseem Ahmed & Ms. Madhumita Roy

For Appellant: Shri Vartik Choksi, With Shri DhrunalBhatt, ARsFor Respondent: Shri Ritesh Parmar, CIT-DR

Section 143(3)Section 14ASection 35Section 43BSection 80

आयकर अपील"य अ"धकरण, अहमदाबाद "यायपीठ । IN THE INCOME TAX APPELLATE TRIBUNAL, “D” BENCH, AHMEDABAD BEFORE SHRI WASEEM AHMED

Xchanging Technology Services India Pvt. Ltd., New Delhi vs. ACIT Circle-27(2), New Delhi

In the result, Appeal filed by the Assessee is allowed

ITA 3923/DEL/2019[2014-15]Status: DisposedITAT Delhi23 Feb 2024AY 2014-15

Bench: Shri N.K.Billaiya & Shri Yogesh Kumar U.S.

Section 115JSection 14ASection 234C

Income Tax Act, 1961 ('the Act') and book profits of Rs. 75,97,27,783/- under section 115JB of the Act (provisions for Minimum Alternate Tax ('MAT')). The tax liability was determined at Rs. 15,92,42,742/- under section 115JB of the Act along with interest liability

Shree Cement Limited, Beawar vs. National Faceless Assessment Centre, Delhi

In the result, the appeal of the Revenue in ITA No

ITA 500/JPR/2023[215-16]Status: DisposedITAT Jaipur21 Feb 2024

Bench: or at the time of hearing of this appeal.

For Appellant: Sh. Dilip B Desai(C.A.)For Respondent: Sh. Alka Gautam (CIT) (V.H) &

Section 115JSection 143Section 143(3)Section 144BSection 144B(1)(xvi)Section 80Section 80I

Income Tax Act, 1961 deals with special provisions relating to certain companies. Section 115JB therein contains special provisions for Minimum Alternate Tax by companies. Chapter XII-BA of the Income Tax Act, 1961 deals with special provisions relating to certain non-corporate assesses. Section 115JC therein contains special provisions ... Minimum Alternate Tax by non-corporate assesses. Provisions of Section 115JC(2)(i) explicitly stipulates those deductions / exemptions contained in Chapter VIA, Part C (which includes Section 80-IA) will be subjected to Minimum Alternate Tax under section 115JC for non-corporate assesses. Thus, this clear difference in the provision