Sunday, July 6, 2025
  • Home
  • About us
  • Privacy policy
  • Advertise with us
  • Contact us
Fii News Logo
No Result
View All Result
  • Tenders
  • Projects
  • Markets
  • Manufacturing
  • Investment
  • Technology
  • Exports
Newsletter
  • Tenders
  • Projects
  • Markets
  • Manufacturing
  • Investment
  • Technology
  • Exports
Fiinews
No Result
View All Result
Home Budget

Converge all corporate taxes at 15%

Fiinews by Fiinews
January 20, 2020
in Budget, Company, Economy, Investment
Reading Time: 2 mins read
A A
0
Iwai Oil
0
SHARES
10
VIEWS
LinkedinShare on Twitter

0:00

CII seeks further boost to investor sentiment

 

CII.

 

To further boost investor sentiment and encourage investments, the Union Budget could announce a roadmap for convergence of all corporate tax rates to 15%, with no exemptions and incentives, by 1 April 2023, a senior industry official said.

“The Union Budget could announce a roadmap for convergence of all corporate tax rates to 15%, with no exemptions and incentives, by 1st April 2023. A signaling to this effect could help further boost investor sentiment and encourage investments”, said Vikram Kirloskar, President, Confederation of Indian Industry (CII).

For private investments, one of the biggest game-changer reforms announced last year was the reduction in corporate taxes, but the desired impact on the ground is still far from satisfactory.

One of the reasons behind this has been the multitude of tax rates, which have created tax rate inequalities across manufacturing and service sectors, he pointed out.

In the interest of simplification and uniformity, it is required that all these tax rates be converged over a period of time.

CII welcomes the Government’s bold move to reduce corporate tax rates substantially. The Government recently reduced corporate tax rates for all corporates to 22%, plus surcharge and Cess.

However, these companies will not be allowed to avail of any tax exemptions or incentives.

Further, manufacturing facilities that start production before 31 March 2023 and are incorporated on or after 1 October 2019 would be taxed at only 15%, plus surcharge and cess.

The statutory corporate tax rate had been brought down in the last three decades, from 45% in 1991-92 to 22% in 2019-20, which is really commendable and encouraging for the industry.

The new rates have catapulted India to a very competitive position against many of the OECD and BRICS countries, and neighbours like China, Indonesia and Philippines.

Over time, the lower rates will reduce the cost of capital and catalyse investments.

However, such varied tax rates create tax rate inequalities amongst companies across manufacturing and services sector and also amongst the manufacturing companies based on the time period of start of production.

It is to be noted that as per the latest OECD data, many countries in the world have a corporate tax rate of 15 per cent, such as Canada, Lithuania, Maldives, Mauritius, Oman and Serbia.

Countries like Ireland, Andorra, Bulgaria, Paraguay and Hungary follow an even lesser rate of corporate taxes, CII pointed out in a statement on 20 Jan 2020. fiinews.com

Tags: CIIMinistry of Finance
ShareTweetShare

Related Posts

IPA
Investment

Invest: Serendipity Space raises pre-seed round

by Fiinews
July 5, 2025
0
17

Company leveraging space-based crystallization technology Serendipity Space, a pioneering space-tech company developing microgravity-based pharmaceutical manufacturing solutions, has raised its pre-seed...

Indian Steel Association
Investment

Invest: India needs $200bn for expansion of mills

by Fiinews
July 4, 2025
0
17

Infra development requires 400mt annual steel production by 2035 Capital infusion of approximately US$200 billion by 2035 for an annual...

PIB

Invest: PSBs told to strengthen credit to MSMEs

June 29, 2025
16
PIB

Invest: Minister wants further development of IFSCS

June 28, 2025
20
PIB

Invest: SMFCL to finance maritime sector

June 28, 2025
18
Capital A Logo

Invest: Manufacturers urged to embrace technology

June 25, 2025
14
SBI YONO

POPULAR NEWS

  • Cristina Dnv

    Projects: Indian yards set to build green ships, says DNV expert

    0 shares
    Share 0 Tweet 0
  • Market: Indian-origin UGF scales heritage consumer brands globally

    0 shares
    Share 0 Tweet 0
  • Technologies: Royal Diamond sponsors aerspace Industries’ drones in UAE

    0 shares
    Share 0 Tweet 0
  • Investments: Foreign investors see India as long-term destination for fund placings

    0 shares
    Share 0 Tweet 0
  • Markets: Blue Dart maintains positive outlook on India

    0 shares
    Share 0 Tweet 0

Fiinews.com features through news articles on business opportunities in the Indian market for the benefits of foreigners. It is also a platform for international businesses to showcase through elaborate articles on their products & services to the Indian consumers and corporations exploiting industrialisation of the country.

7Clicks Media is a Singapore based Media & PR company offering over 100,000
impressions via our targeted communication strategy.

It is led by editor-in-chief Gurdip Singh who has worked over 45 years reporting on
Asian businesses.

Recent News

  • Export: India to ship non-GMO soybean to EU
  • Tender: Take care of new urban development
  • Manufacturing: Framework on Drones by Sep-Oct
  • Project: Joint maritime professionals launched
  • Market: Daimler bullish on construction sector

Pages

  • About US
  • ADVERTISE ON FIINEWS.COM
  • CONTACT US
  • EVENTS
  • FII-NEWS.COM PDF ARCHIVE
  • Home
  • News
  • PRIVACY POLICY

Subscribe to Newsletter

  • About
  • Advertise
  • Careers
  • Contact us

© 2024 FIINEWS - Design and developed by 7clicksmedia.

No Result
View All Result
  • Tenders
  • Projects
  • Markets
  • Manufacturing
  • Investment
  • Technology
  • Exports

© 2024 FIINEWS - Design and developed by 7clicksmedia.