Latest Expert Exchange Queries

GST Demo Service software link: https://ims.go2customer.com
Username: demouser Password: demopass
Get your inventory and invoicing software GST Ready from Binarysoft info@binarysoft.com
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
 
 
 
 
Popular Search: form 3cd :: ACCOUNTING STANDARDS :: articles on VAT and GST in India :: due date for vat payment :: cpt :: ARTICLES ON INPUT TAX CREDIT IN VAT :: VAT Audit :: VAT RATES :: TDS :: empanelment :: TAX RATES - GOODS TAXABLE @ 4% :: Central Excise rule to resale the machines to a new company :: ACCOUNTING STANDARD :: list of goods taxed at 4% :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes
 
 
News Headlines »
 Infosys to configure GST network for filing returns
 Save income tax through mutual fund investment. All you need to know
 Income tax returns (ITR): On sale of property, here is what you should know
 Section 35 of the Income-tax Act?
 Notification regarding extension of last date w.r.t submission of closing stock by dealer.
 Integrated Goods and Services Tax (IGST) Rules, 2017 (As on 15.11.2017)
 Central Goods and Services Tax (CGST) Rules,2017 (As on 15.11.2017)
  101st Constitution Amendment Act, 2016
 Pr. Commissioner Of Income Tax-6 Vs. Mccain Foods India Pvt. Ltd.
 Section 10 of the Income-tax Act, 1961
 Income tax returns filing: No tax on gift received from relatives in form of cash

India, Inc.'s effective tax rate only 17 per cent
January, 22nd 2007

It is well known that Indian industry has been clamouring for a lower rate of corporate tax. If you ask the finance ministry, the effective rate of corporate tax is a mere 17%, thanks to a panoply of tax breaks.

The actual tax burden is only about half the actual rate of 33.66%, says a recent finance ministry study on tax rates. Of course, the effective rate varies from sector to sector from a low of 11.7% in the case of information technology to 32.5% for paints.

For India Inc, the signals should be clear: some tax exemptions may go. Recently, Prime Minister Manmohan Singh spoke of withdrawing tax exemptions in the long run, in sync with what the finance ministry has been pushing for. And now, with this study on the effective tax rates, the finance ministry is armed with evidence to push for pruning of tax exemptions.

So will the corporate tax remain the same or be lowered in the coming Budget? While this can only be known in a few weeks, this is what the PM said at Ficci's AGM, Industry should hope to grow and conquer the world through global efficiency.

Since FY06, the statutory corporate tax rate is 33.66% and this includes the basic rate of 30% plus a surcharge and an education cess.

India Inc's effective corporate tax rate stood at around 16.5-17% in 2005-06, according to the analysis done by the finance ministry based on tax returns filed by corporates. This means on a profit of Rs 100 in 2005-06, corporates have paid Rs 17 as tax. But their outgo would have been Rs 33.66 as per the statutory tax rate.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Software Work Flow Workflow Software Software Automation Workflow automation Software Design Workflow Design Business Work Flow Workflow automation tools

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