The profit and loss account of XYZ Ltd. for the year ended 31-3-2017 showed a net profit of ₹80,00,000 after making of the following adjustments: (a) Depreciation ₹24 lakh (including depreciation on revaluation of assets

Computation of Book Profits and Minimum Alternation Tax of XYZ Ltd. Assessment Year 2017-18 Particulars Amount (INR) Amount (INR) Net profits as per Profit & Loss accounts for the year ended 31.03.2017 80,00,000 Add: Depreciation including depreciation on revaluation on Assets 24,00,000 Transfer to General Reserve 9,00,000 Provision for unascertained liability 2,00,000 35,00,000 Total 1,15,00,000 Less: Depreciation excluding revaluation of assets 20,00,000 Agriculture Income 15,00,000 Transfer to P&L from general reserve 3,00,000 Brought forward business loss and depreciation whichever is less 11,00,000 49,00,000 Book Profits u/s 115JB 66,00,000 Computation of Minimum Alternation Tax Particulars Amount (INR) Amount (INR) Minimum Alternate tax @ 18.50% of book profits (i.e. 18.50% * 66,00,000) 12,21,000 Add: Education cess and secondry and higher education cess @3% 36,630 Tax liability u/s 115JB 12,57,630