sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
Latest Expert Exchange
General »
 Government likely to withdraw tax notice on free banking services
 Senior Citizens Savings Scheme Rules, 2004
 How salaried individuals can avail full potential of I-T benefits
 The Central Board of Direct Taxes unveiled new Income Tax Return forms for assessment year 2018-19 on 5 April. Although the manner of filing returns remains the same as compared to last year, certain changes have been incorporated in the new ITR forms.
 Income Tax efiling: Must-do steps to file your IT return for FY 2017-18 on time till you get Form 16
 What are the tax filing deadlines for financial year 2017-18?
 How income tax department can penalise you for under-reporting, misreporting income
 Start your tax planning right now
 Government confident of meeting fiscal deficit, tax revenue targets
 Clarification with respect to the E-way Bill System
 Here is how you can save on taxes

Who loses if corporate tax incentives go?
November, 27th 2015

The government has proposed a two-year roadmap to phase out the raft of direct tax incentives companies actively leverage to lower their effective tax rate. If that happens, there are three sets of companies that will be the most impacted.

Companies with a profit before tax of above R500 crore, which account for 60% of India Inc’s profits, pay tax of about 6 percentage points less than their counterparts at the other end and about two-thirds of the average statutory tax rate.

Along with phasing out direct tax incentives, the government has indicated reducing the statutory tax rate from 30% (excluding surcharge and cess) to 25%.

Several sectors already pay below 25%, more so manufacturing than services.

Potential loser set 3: fast depreciators, sezs and occupants, power companies...

About 95% of direct tax revenue currently foregone by the government is on account of 10 clauses. These relate to companies that make certain choices in unit location, depreciation policy, choice of businesses and research expenditure, and will impact their taxes in a scenario where these incentives no longer exist.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2018 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Our Portfolio

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions