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In a major move, Finance Minister,  Nirmala Sitharaman  made several announcements for the corporate sector. The minister announced sharp cuts in corporation tax among a series of announcements. Sitharaman said the total revenue forgone on account of today's measures would be Rs 1.45 trillion per year. Here are the highlights 1. All domestic companies to be allowed to pay corporation tax at the rate of 22% (effective rate 25.17% including cess and surcharge). This would be subject to the condition that these companies do not avail of any tax incentives or exemptions. Moreover, no Minimum Alternative Tax (MAT) would be imposed on these companies. 2. Any new domestic manufacturing company, incorporated on or after October 1, 2019, will be allowed to pay corporation tax at the rate of 15% (effective rate 17.01%). No MAT will be imposed on these companies either. This will be subject to the condition that the company does not avail of any tax incentives or exemptions and ...

The country's largest luxury car maker  Mercedes-Benz India  hopes the measures announced by the government will bring about a pick-up in sales in the second half of calendar 2019. "The (Friday) announcement of the Finance minister will definitely help change the mood a little bit. It will improve financial liquidity in the market. It will also create some confidence of the customers and that goes across the industry," said Martin Schwenk, managing director and chief executive officer, Mercedes-Benz India. "I think it isn't the car industry only, (but) also the construction industry which needs some amount of positive momentum. I am personally thinking that now in the second half (of the year) you will see some of it. How fast and how quick we will see the growth coming back we don't know. I am quite confident that the second half of the year, which is a festive season, could see the business picking up," Schwenk added.  Read Complete Article ...