amit (Software Consultant) (103 Points)
20 September 2019As per FM announcement today
the rule of 15% tax on new companies being incorporating post 1 Oct 2019 be applicable to all sectors or only to manufacturing sectors (of tangible products)
thanks
Suresh Thiyagarajan
(Student)
(3986 Points)
Replied 20 September 2019
1. Yes as explained by experts above, it is applicable only for manufacturing company incorporated after 1st of October 2019 without any other conditions attached.
2. The above companies have an option to pay corporate tax on their profit for the FY 2019-20 @ 15%.
3. However, they have mentioned it as 17.01% as an effective tax rate including surcharge and education cess. Yet to have a clear picture of how they have arrived @ 17.01% as an effective tax rate.
Please correct me if the above solution has an alternative view.
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