<h1>Minimum alternative tax in foreign portfolio investment clarified: MAT not to apply to FPIs without Indian permanent establishment.</h1> The principal issue concerns the scope of the Minimum Alternative Tax under section 115JB in relation to foreign institutional/portfolio investors. The Government has accepted a Committee recommendation and proposes a legislative amendment to provide that MAT will not apply to FIIs/FPIs that do not have a place of business or permanent establishment in India for the period prior to the legislative cutoff.