« Top Headlines » Open DEMAT Account in 24 hrs  New Income Tax Act: ITR forms to be issued prior to FY28, says govt  GSTR-9C Explained: Turnover Limit, Due Date, Statement Format & How to Prepare It in Tally Prime (2025 Update)  Will Income Tax Department release new ITR forms by January 2026? Finance Ministry says this  The Government of India has strengthened MSME protection through strict payment rules, ensuring that Micro & Small Enterprises receive timely payments from buyers. Under the MSME Development Act (MSMED Act), 2006, buyers must make payments within:  ITR Refund Delays in India: Why They Happen & How to FastTrack Your Refund in 2025  ITR Refund Delay: From Bank Errors To Department Checks, 5 Big Reasons Your Refund Gets Stuck  Income Tax Slabs 2025: New Vs Old Regime; Which One Is Better For You For FY2025-26?  Seamless Integration: How Tally Prime Connects Businesses to the Digital Economy  Govt to notify new ITR forms, Income Tax Act 2025 rules by January 2026: CBDT chief  Digital Efficiency for MSMEs: The Tally Prime Advantage  5 Ways Tally Prime Reduces Cost and Boosts Productivity for Startups «  Mr Taxman, can you tell me...... RBI to mop up Rs 6,000 cr via bond auction... » Sec 80 IA withdrawal to hit construction cos March, 03rd 2007 Construction companies will see their tax burden going up on account of the removal of Section 80 IA benefits. Section 80-IA was introduced for encouraging private sector participation in the development of infrastructure, and not for persons/entities who were merely executing the civil construction work or any other works contract. The new amendment will take retrospective effect from 1st April, 2000, and will, accordingly, apply in relation to the assessment year 2000-2001 and subsequent years. As a result, construction companies that merely execute development work will have to shell out a lumpsum towards past tax provisions. Thus, in a case where a entity makes the investment and carries out the civil construction work will be eligible for tax benefit under section 80-IA. In contrast to this, an entity that enters into a contract with an eligible participant for executing works contract will not be eligible for the tax benefit under section 80-IA. Construction contractors had so far been availing of the section 80IA benefit for projects awarded by infrastructure developers viz NHAI and state government agencies-awarded projects in roads & bridges, irrigation, water supply and sanitation. These benefits meant that companies were paying a minimum alternate tax (MAT)  of 11.2%. However, the clarification to section 80IA now stipulates that these companies pay the full tax rate of 33.66% from retrospective effect from 1st April, 2000.    RETROSPECTIVE IMPACT In Rs crore   IVRCL     54.90 HCC    42.40 Gammon     32.00 NCC     26.00 Source and estimates by Prabhudas Lilladher Going forward, companies will have to provide for full tax.  According to an analysis by brokerage firm Prabhudas Lilladher, these companies will have to adjust for this from their reserves thereby impacting their respective net worth.