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Panel for `rationalising' taxes in shipping sector
May, 15th 2007
Concerned over the multiple taxes levied on the domestic shipping sector such as minimum alternate tax, corporate income tax, withholding tax, and income tax for seafarers, a Parliamentary Panel has called for "rationalisation and reduction" of such taxes.

It has recommended that the Department of Shipping pursue the matter "vigorously" with the Finance Ministry so as to make the Indian shipping sector competitive vis--vis its foreign counterparts.

The Parliamentary Standing Committee on Transport, Tourism and Culture notes with concern that there are multiple taxes in the Indian shipping sector due to which Indian tonnage is losing out its competitive edge.

These taxes are putting extra burden on Indian shipowners whereas their foreign counterparts do not have to pay such taxes.

 
 
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