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: ACCOUNTING STANDARD :: Central Excise rule to resale the machines to a new company :: ARTICLES ON INPUT TAX CREDIT IN VAT :: ACCOUNTING STANDARDS :: empanelment :: VAT RATES :: articles on VAT and GST in India :: list of goods taxed at 4% :: TAX RATES - GOODS TAXABLE @ 4% :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: TDS :: VAT Audit :: form 3cd :: due date for vat payment :: cpt
 
 
Direct Tax »
  No relief to those who defaulted on 1st IDS installment: CBDT
 CBDT clears the air on rental incomes from industrial parks, SEZs
 CBDT signifies achievements towards eliminating domestic black money
 Seafarers get tax exemption from Ministry of Finance
 Financial institutions need to get accounts self-certified for FATCA by April 30
 Direct tax incentives to promote start-ups
 Employer didn't deposit the TDS it deducted on your salary. How to claim it?
 Central Board of Direct Taxes clarifies on cash curb, Aadhaar
 CBDT to issue PAN, TAN within a day to improve Ease of Doing Business
 Expats who stayed in India for 182 days or more must apply for Aadhaar card: CBDT
 CBDT accomplishes direct taxes collection target for FY 2016-17

Lowering MAT to 15% in DTC
July, 08th 2010

Industry chamber Ficci today demanded that the MAT rate be cut to 15 per cent of the book profit in the Direct Taxes Code.

Besides, the chamber in its representation to the Finance Ministry on the Direct Taxes Code (DTC) also suggested that all pension schemes be exempted from payment of tax.

"...The rate for MAT (Minimum Alternate Tax) be a specified percentage and in no case more than 50 per cent of the basic corporate tax rate... As the existing corporate tax is 30 per cent, accordingly MAT rate should be 15 per cent," Ficci said in its agenda to the government.

If the corporate tax is reduced to 25 per cent, MAT should be fixed at 12.5 per cent, it added.

While revising the original DTC proposal, the Finance Ministry last month dropped the proposal to impose MAT on gross assets.

MAT, which was introduced to bring non-tax paying companies into the tax net, is currently imposed at 18 per cent of the book profit.

As per the revised code, individuals would enjoy tax exemptions in select savings schemes -- public provident fund, pension schemes, including the government's new pension scheme, general provident funds, recognised provident funds, pure life insurance and annuity schemes.

Ficci in its recommendation said, "All pension funds, which are currently registered with the IT department be covered for the purpose of EEE method instead of restricting it to certain categories."

Under the Exempt Exempt Exempt (EEE) mode, the tax exemption is enjoyed at all the three stages--investment, accumulation and withdrawal.

The other suggestions made by the industry body, including the Special Economic Zone (SEZ) developers, who got approval before DTC became effective, should continue to get the exemptions after the introduction of the Code.

The government last month came out with the revised discussion paper on Direct Taxes Code, which dropped many controversial proposals of the original draft code to help individuals and companies save taxes.

The government had proposed to bring a bill on DTC in the monsoon session of Parliament and hoped that the new Act, replacing archaic Income Tax law, would be implemented from the next fiscal.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Privacy Policy

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