(FE)
In the Budget presentation in the Parliament, Finance Minister Arun Jaitley announced a corporate tax cut to 25% for MSMEs. “I propose to extend benefit the benefit of lower tax rate of 25 percent to companies with a reported turnover of Rs 250 crore,” the finance minister said. The finance minister added that the revenue foregone for FY 18-19 is estimated to be Rs 7,000 crore. Interestingly, analysts and market observes were quick to say that FM met India Inc’s demand, and cuts corporate tax rate to 25% for MSMEs. The finance minister observed that MSMEs account for the maximum percentage of taxpayers among corporates.
