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In the past financial year accounts our Book Profit as per book of accounts is Rs X. During this period we have issued shares at a premium. The total share premium is Rs.Y. This amount of premium has been taken in the books as addition in the reserves. What will be the amount on which MAT will be calculated? A. Rs X , i.e the the amount of Book profit in books of accounts. OR B. Rs X+ Y. i.e. Book profits increased by the share premium.

Fund raising

Posted By: M b s agarwal 10 year(s) ago

This question has been closed if you want to answer,you have to re-open.


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Pramod Prabhudesai
B D Jokhakar & Co

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