Tax Cut From Nirmala Sensex Zoomed
In a move to revive the slow economy rate, the BJP government at the center is taking the necessary steps. Central Finance Minister Nirmala Sitharaman, announced a cut in the corporate tax rate for companies. Later after tax cut from Nirmala Sensex zoomed high after 10 years.
Finance minister Nirmala Sitharaman’s fresh announcement was good news for the investors and the stock markets that already started gaining.
The biggest announcement is cutting down the income tax to domestic companies and the manufacturing sector. The new tax rate now stands at 25.17 percent for existing companies while for new companies the effective tax rate will be 17 percent.
Earlier the corporate tax was at 30 percent and considering surcharges and cess, it would go all the way up to 34 percent. For the new companies, the government fixed the tax at 25 percent, and with miscellaneous, it would reach 29 percent.
With a difference of nearly 12 percent for the new companies especially in the manufacturing sector, they could benefit hugely. At the same time, the new companies should start their operations in the country by March 31st, 2023.
After the Finance minister’s announcement, National Stock Market zoomed today with the Sensex index reached 2,284.55 points in its biggest intraday gain in more than a decade.