TMI Blog2017 (2) TMI 1482X X X X Extracts X X X X X X X X Extracts X X X X ..... orked out. In our view, this is the correct method of computing tax liability as well as credit available u/s 115JAA. Accordingly, we direct the AO to verify the facts as have been given in the aforesaid working and compute the tax liability accordingly and allow the necessary relief to the assessee - I.T.A. No. 3066/Mum/2015 - - - Dated:- 7-2-2017 - Shri Amit Shukla (Judicial Member) And Shri Ashwani Taneja (Accountant Member) For the Appellant : Shri Shiv Prakash. For the Respondent : Shri M.C. Omi Ningshen. ORDER Per Ashwani Taneja, AM: This appeal has been filed against the order of Commissioner of Income-tax (Appeals)-50, Mumbai (hereinafter called CIT(A)] dated 28-02- 2015 passed against the assessment ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... subsequent years whenever tax will be payable under the normal provisions of the Act in the subsequent years. Under these circumstances, if the tax payable under MAT is further increased by education cess and surcharge, then while making it s carry forward and set off also the amount of surcharge and education cess should be included. He placed reliance on the judgment of Hon ble Allahabad High Court in the case of CIT vs Vacment India 369 ITR 304 (All) and Calcutta High Court in the case of M/s Srei Infrastructure Finance Ltd vs DCIT (G.A. No. 115 of 2016 (ITAT No.245 of 2016) Dt 12th August, 2016. Per contra, the Ld. DR fairly submitted that neither the working submitted by the assessee was correct in accordance with law and facts of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e entire amount would be available for the benefit of set off in the subsequent years from the amount of gross tax payable by the assessee. During the course of hearing before us, Ld. Counsel submitted before us three types of work sheets wherein tax payable after setting off amount of credit available u/s 115JAA was worked out in three different methods. We find that the following working shows the appropriate method of computing tax liability and setting off amount of credit available u/s 115JAA:- COMPUTATION OF TAX LIABILITY ON TOTAL INCOME AS PER INCOMETAX ACT, 1961 1 Total Income Rs. 1,093,157,260 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 857,212 Rs. 29,430,939 Tax payable after credit under section 115JAA Rs. 342,011,311 During the course of hearing, the Ld. DR also fairly submitted that it would be a correct method of computing tax liability and credit available u/s 115JAA. It is noted from the above working that first of all tax amount has been computed on the total income of the assessee. Thereafter surcharge and education cess has been worked out upon the tax liability. Then, from the gross amount so arrived at, the amount of credit available u/s 115JB on account of income-tax, surcharge and educati ..... X X X X Extracts X X X X X X X X Extracts X X X X
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