Need Tally
for Clients?

Contact Us! Here

  Tally Auditor

License (Renewal)
  Tally Gold

License Renewal

  Tally Silver

License Renewal
  Tally Silver

New Licence
  Tally Gold

New Licence
 
Open DEMAT Account with in 24 Hrs and start investing now!
« General »
Open DEMAT Account in 24 hrs
 Won case against income tax department but still waiting for benefit? No more delay after an update in ITR portal
 Income Tax Department regrets issuing erroneous notices to taxpayers: Know the details
 Income Tax Return: Miss THIS ITR filing deadline and you will be fined Rs 10000
 Tax contribution of petroleum sector set to drop rapidly in FY 2024-25
 Missed reporting foreign assets in ITR? File revised return to avoid Rs 10 lakh penalty
 Tax regime shift: Is filing ITR under old regime still valid after default new regime?
 Income Tax Department Targets Bogus Refund Claims, Issues Notices To Taxpayers
 IT firms bullish on higher spending due to tax cuts
 How to calculate capital gains tax on sale of land?
 Don't fall for fake notices! How to verify your income tax communication
 I decided to shift to the new tax regime. Will I lose benefit on interest income of my PPF account?

Expect Reduction In Corporate Tax Rate
January, 28th 2019

With the upcoming elections and in the wake of the panel entrusted with the task of outlining measures to replace the existing Income-tax Act, it seems unlikely that any major SOPs or incentives will be introduced.
However, one can expect some certain industry-specific announcements:

Funds industry: Extension of the tax pass-through status to Category-III Alternate Investment Funds (AIF) and tax holiday provisions for AIFs set up in International Financial Services Centres to further boost the AIF industry.

Capital markets: Last year, the tax exemption on long-term capital gains (LTG), which was earlier available on market sale of listed equity shares, was withdrawn and respite was given for investments made prior to January 31, 2018, by allowing taxpayers to substitute the fair market value of such shares on January 31, 2018 as cost base subject to conditions. However, clarity on whether the same is available for shares acquired pursuant to exempt transfers such as acquisition pursuant to a demerger/merger/gift would be helpful.

Reduced corporate taxes and minimum alternate tax (MAT): The industry expects a reduction in the corporate tax rate to 25 per cent for companies and LLPs (increasingly gaining traction) along with a reduction in the present MAT rate, i.e. 18.5 per cent (which is essentially tax payable by corporates on the adjusted book profits and in certain cases payable by non-corporates on income).

Indirect transfer of Indian assets: Transfer of assets held directly or indirectly by a foreign company pursuant to a merger/demerger to another foreign company is not subject to tax in India, subject to certain conditions. At present, there is no relief to shareholders of the transferor company from indirect transfer tax and an exemption in this regard is expected.

Start-ups: In order to claim a tax exemption, start-up entities have to obtain a certificate from the Inter-Ministerial Board of Certification, often viewed as a regulatory hurdle. Increased objectivity in the process would boost the Startup India initiative.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2025 CAinINDIA All Right Reserved.
Designed and Developed by Ritz Consulting