InvestorQ : What happens to the minimum alternate tax (MAT) after these tax changes?
sara Kunju made post

What happens to the minimum alternate tax (MAT) after these tax changes?

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2 years ago
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MAT will continue to exist for companies that are under the old formula but there will be no MAT for companies under the new formula (22% and 15% formula). However, companies that continue in the existing formula will pay MAT but at a lower rate of just 15% compared to the current rate of 18.5%. For the new formula participants, this is logical as once the rates are cut so low, MAT does not have relevance. The lower MAT will also reduce the cost for Indian corporates.

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