India Corporate Tax & MAT (Section 115JB) Calculator
Determine corporate income tax under Section 115BAA vs normal provisions and calculate 15% Minimum Alternate Tax on book profit.
Direct Statutory Calculation Result
Calculation Parameters (Finance Act 2024, GST Council & Central Acts)
Statutory Itemized Breakdown
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Frequently Asked Statutory Questions
What is Section 115BAA corporate tax in India?
Section 115BAA was introduced by the Taxation Laws (Amendment) Act 2019, allowing domestic companies to opt for a flat 22% tax rate (effective 25.17% including mandatory 10% surcharge and 4% cess) provided they forgo certain exemptions and deductions. Companies opting for 115BAA are completely exempt from Minimum Alternate Tax (MAT).
What is Minimum Alternate Tax (MAT) under Section 115JB?
Under Section 115JB, if the normal corporate tax payable by a company is less than 15% of its book profits, the book profit is deemed to be the taxable income, and tax is levied at 15% (plus surcharge and 4% cess).
What is the MAT Credit mechanism?
When a company pays MAT instead of regular corporate tax, the difference between MAT paid and regular tax is credited Credit. This credit can be carried forward for up to 15 assessment years to offset future regular tax liabilities.
What are the surcharge rates for Indian domestic companies under the normal regime?
Under normal provisions: 0% if total income <= ₹1 Crore; 7% if total income exceeds ₹1 Crore but does not exceed ₹10 Crore; and 12% if total income exceeds ₹10 Crore. Under Section 115BAA, surcharge is fixed at 10% regardless of income.
What is the Health & Education Cess rate?
A mandatory 4% Health and Education Cess is levied on the aggregate of income tax and applicable surcharge for all companies.
Engr. Muhammad Shahzad
Verified Fiscal & Statutory AlgorithmistLead software architect and statutory modeling specialist with over a decade of experience designing enterprise-grade algorithmic frameworks, double-entry financial models, and statutory compliance engines across European and global regulatory jurisdictions.
Engr. Muhammad Shahzad
Principal Financial Systems Architect & Indian CBDT & EPFO Statutory Systems Principal Architect
Lead software and systems architect specializing in high-performance browser computing, algorithmic validation, financial models, and zero-telemetry client-side privacy architecture.