Question
A company has book profit of ₹20,00,000 for FY 2024-25. Its normal tax liability computed under the Income Tax Act is ₹3,50,000. During computation of book profit for MAT, the following adjustments are made: • Depreciation as per Companies Act (₹2,00,000) is more than depreciation allowed under IT Act (₹1,50,000). • Other permanent disallowances (like CSR expenditure not allowed) = ₹50,000. The MAT rate is 15% (ignore surcharge). Compute the tax payable under MAT.
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