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: due date for vat payment :: TAX RATES - GOODS TAXABLE @ 4% :: ACCOUNTING STANDARD :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: cpt :: articles on VAT and GST in India :: VAT Audit :: list of goods taxed at 4% :: TDS :: Central Excise rule to resale the machines to a new company :: VAT RATES :: ACCOUNTING STANDARDS :: empanelment :: ARTICLES ON INPUT TAX CREDIT IN VAT :: form 3cd
« General »
 Banks warn share tax hike threatens Paris' post-Brexit appeal
 PMC may decide on property tax rebate for IT firms this week
 I-T Dept is giving out certificates of appreciation. Have you received yours?
 Government works on ironing out benefits refund mechanism for exportersa
  Tax officials are using an IDS provision to question transactions beyond six-year-limit
 Tax-free bonds rally like midcap funds
 Senior citizens do not have to pay advance tax on salary and interest income
 GST: Audit commissioners to get adjudication powers
 Interest on NRE rupee account can be exempt from tax under FEMA
 Impact of GST on Real Estate Sector
 GST regime: Tax payers allowed to take option of third-party interfaces

Reduce corporate tax rate: FICCI
March, 30th 2009

Buoyed by the findings of a total tax contribution (TTC) survey, the Federation of Indian Chambers of Commerce and Industry has demanded reduction in the corporate tax rate.

The TTC Survey 2008 has provided a comprehensive picture of the taxes borne and collected by 41 participating companies, out of the 100 companies constituting the S&P CNX Nifty and CNX Nifty junior indices as on April 30, 2008.

High contribution

The corporate tax rate has to be brought down. It is clearly evident from the results of the survey that the tax borne by the corporate sector is high. They are also discharging onerous responsibility of tax collections, Dr Amit Mitra, Secretary General of FICCI, told a press conference here to announce the results of the survey.

41 companies contribute 10% of tax revenue

FICCI had also made a case for reduction in corporate tax rate (to 28 per cent) at the interaction that captains of industry had with the Prime Minister, Dr Manmohan Singh, on Saturday.

The TTC survey, claimed to be the first of its kind in India, is a partnership effort between PricewaterhouseCoopers (PwC) and FICCI.

Gross tax collections at Rs 3.2 trillion

The survey results have also reinforced the importance of large Indian companies to government tax receipts, Dr Mitra noted.

The total taxes borne and collected by the survey participants by March 31, 2008 was Rs 84,902 crore, which represented 9.7 per cent of the total government tax receipts.

More tax news

Dr Mitra also said that the impact of taxation in India is manifested by the average amount of total taxes borne and collected by the 41 participating companies, which is 16 per cent of their turnover.

The Total Tax Rate (TTR), which is a useful measure of the burden of all taxes borne on a particular business, was 35.9 per cent of the profit before all business tax borne.

More India business stories

Ketan Dalal, Executive Director, PwC, said that the 41 participating companies represented 55 per cent of the market capitalisation of all companies invited to participate. They had provided data on payments of business taxes borne and collected for two accounting years ended March 31, 2007 and March 31, 2008.

Of the 23 taxes identified for the purpose of the survey, 11 were taxes levied by the Central Government and 12 by State Governments or municipal or local authorities. Certain taxes are both a tax borne and tax collected (for example, service tax). Of the 23 taxes identified, 22 taxes are borne and 13 taxes are collected by companies.

Dalal told Business Line that the data on compliance cost was not captured in TTC 2008 survey. We will look at including compliance cost data in the next year survey, he said.

The other aspect of the TTC 2008 survey was it did not capture the impact of tax rate changes made during 2008-09.

The TTC 2008 has also indicated that, on an average for every Re 1 of taxes borne, the 41 participating companies collected taxes of Rs 1.80 on behalf of the Government.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Our Vision

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