THE CORPORATE TAX PUZZLE
Finance minister Arun Jaitley,
in his budget speech last year, said the government will reduce the corporate tax rate to 25% over the next four years from 30% at present. But this would be accompanied by a corresponding phase-out of tax exemptions and deductions, which would bring more clarity to the tax regime, he said
In November the government
had laid down a comprehensive road map for phasing out the corporate tax exemptions over the next two years as it looks to reduce the tax rate, simplify the administration and improve India’s competitive edge globally.