India could abolish minimum alternate tax (MAT) once corporate tax exemptions are eliminated as part of the government's plan to reduce the corporate tax rate to 25% from 30% and provide an uncluttered and non-adversarial tax regime that will help draw investments. The reduction will start in FY17 and take place over four years. Also, in order to give further comfort to overseas investors, the government will soon clarify that dividends issued by foreign subsidiaries in India to their parents will not be taxable locally.

Source - http://economictimes.indiatimes.com