Latest Expert Exchange Queries
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) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: empanelment :: articles on VAT and GST in India :: due date for vat payment :: Central Excise rule to resale the machines to a new company :: TAX RATES - GOODS TAXABLE @ 4% :: list of goods taxed at 4% :: form 3cd :: ACCOUNTING STANDARD :: VAT RATES :: cpt :: ACCOUNTING STANDARDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: ARTICLES ON INPUT TAX CREDIT IN VAT :: TDS :: VAT Audit
 
 
News Headlines »
 10 ways you get benefited from filing your tax return
 Returns under CGST Act,2017 with Rules
 Ten facts to know about filing income tax return this year
 The Ten Commandments of Tax Filing
 How to claim income tax refund
 How to time your buys to have best of two tax regimes
 Here's why you must always check Form 26AS before filing tax return
 Want to file your income tax return after June 30? Having Aadhaar card is a must
 Timeline for filing of tax returns extended by two months
 Top 5 common mistakes to avoid while filing your income tax returns
 GST rollout on July 1: Deadline for filing tax returns extended

Surcharge on corporate, personal I-T likely to go
January, 15th 2007

Union Budget 2007 may turn out to be good news for individual tax payers as well as corporates. With its tax kitty swelling, the government is likely to concede the long-standing demand of industry to axe the 10% surcharge on corporate and personal income tax.The government is seriously considering removal of surcharge in the forthcoming budget, sources said.

Dropping surcharge will soften tax rates marginally and reduce the burden on taxpayers. Prime Minister Manmohan Singh and finance minister P Chidambaram have both hinted at moderation in tax rates. Since the emphasis is on weeding out tax exemptions, sources said relief can be expected on the surcharge front.

Surcharge was introduced by the previous NDA regime for a period of one year. However, it was not discontinued and, in fact, enhanced to 10% from 7.5% by the UPA government. Surcharge is levied on the total income tax. In the case of individuals, it is applicable on income above Rs 10 lakh. For corporates, surcharge is levied on the total tax, resulting in an effective rate of 33%.

With buoyant tax collections, surcharge should ideally go in the forthcoming budget, says Vikas Vasal, director, KPMG.Direct tax collections witnessed a growth of over 40% in the first nine months of the current fiscal to Rs 1,44,286 crore and is all set to overshoot the 2006-07 Budget target of Rs 2,10,419 crore.

Industry bodies, including Ficci, CII and Assocham, have been batting for removal of surcharge. In its pre-budget memorandum to the FM, Ficci pointed out that the actual tax burden on corporates is as high as 40%. It said since the government is following the Asean model of tariffs, the corporate tax structure should also be brought down to the level of 25-30%.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Application Management Solutions Application Management System Application Management Software System Application Management Development Application Management Software Development

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