Corporate tax slashed in India

*Corporate tax rate to be 22% without exemptions

*Effective tax rate after surcharge to be at 25.17%

*The new tax rate is subject to the condition that companies won’t avail any other incentive

*MAT reduced to 15% from 18.5%

*Effective tax for new company setting up from October 2019 shall be 17.1%

*FM says Cos enjoying tax holidays can avail concessional rates after exemption period

*Total revenue forgone for Government is estimated around Rs 1.45 lakh crore per year because of tax cut

*Enhanced surcharge announced in Budget shall not apply on capital gains arising on sale of any securities including derivatives in the hands of foreign portfolio investors

*Buyback tax for listed companies announcing buybacks pre-July 5 is exempted

*Enhanced surcharge will not apply to capital gains arising on equity sale or equity-oriented funds liable to STT stabilise flow of funds into capital markets.

*CSR 2% spending to include government, PSU incubators and public funded education entities, IITs

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