Concessional rate of tax for companies

9 Mar 2020 However, once such a company opts for the concessional tax rate under section 115BAA of the Income Tax Act,1961, it cannot be subsequently 

Tax task force recommends new tax slabs for individuals29 Aug, 2019, 02.01PM IST People earning between Rs 5 lakh and Rs 10 lakh per year may have to pay 10 per cent income tax, if the recommendations of this high-level tax force are accepted. The effective tax rate for these companies shall be 17.01% inclusive of surcharge & cess. Also, such companies shall not be required to pay Minimum Alternate Tax. c. A company which does not opt for the concessional tax regime and avails the tax exemption/incentive shall continue to pay tax at the pre-amended rate. Budget 2018: Corporate tax rate reduced to 25% for companies with turnover of up to Rs 250 crore The announcement, said the finance minister, will benefit the entire micro and small and medium enterprises which amounts for 99% of the companies filing their tax returns. In order to give boost to the manufacturing sector, new provisions were introduced in September 2019 offering a concessional corporate tax rate of 15% to the newly incorporated domestic companies in the manufacturing sector which start manufacturing by 31st March, 2023.

20 Sep 2019 "We today propose to slash the corporate tax rates for domestic cent for domestic companies, if they do not avail any incentive or concession.

29 Mar 2017 option to offer income at a concessional base tax rate of 25% (plus surcharge and cess). Particulars. Domestic. Foreign. Companies. Income shall, at the option of such company, be computed at concessional tax rate of 22%. ** Concessional rate of tax for domestic company if – (i) Such company has been set-up and registered on or after October 1, 2019; and (ii) It is engaged in business of manufacturing or production of any article or thing (Subject to certain other conditions*) 115BAB: Income shall, at the option of such company, be computed at concessional tax rate of 15%. Before you opt for concessional tax rates of 15% or 22% !! A domestic company opting for concessional tax rate schemes prescribed under section 115BAA or section 115BAB, can exercise this option by electronically filing Form 10-IC or Form 10-ID respectively. The surcharge shall be charged at the flat rate of 10% of tax irrespective of total income or net taxable income. There is no change in health and education cess and will charge at the same rate i.e. 4% of tax plus surcharge. It means the concessional tax rates will not be applicable to those income for which the tax is to be charged at special rates etc. (e.g., like in cases of long term capital gains, section 68 etc. income cases, certain short term capital gain cases etc.) Concessional Rates Are Optional: The concessional tax rates are optional. They will be applicable only when the option for adopting them will be exercised in given time and given manner. With an intent to boost Electricity Generation sector, the Union Budget 2020 has proposed the Concessional Tax Rate for Electricity Generation Companies.. New provisions were introduced in September 2019, offering a concessional corporate tax rate of 15% to the newly incorporated domestic companies in the manufacturing sector which start manufacturing by 31st March 2023. Domestic companies who has opt for concessional rate u/s 115BAA and 115BAB can take deduction under section 80JJAA or 80M Taxation Law Amendment Act, 2019 ( TLAA ) inserted section 115BAA and section 115BAB in the Act to provide domestic companies an option to be taxed at concessional tax rates provided they do not avail specified deductions

The surcharge shall be charged at the flat rate of 10% of tax irrespective of total income or net taxable income. There is no change in health and education cess and will charge at the same rate i.e. 4% of tax plus surcharge.

Budget 2018: Corporate tax rate reduced to 25% for companies with turnover of up to Rs 250 crore The announcement, said the finance minister, will benefit the entire micro and small and medium enterprises which amounts for 99% of the companies filing their tax returns. In order to give boost to the manufacturing sector, new provisions were introduced in September 2019 offering a concessional corporate tax rate of 15% to the newly incorporated domestic companies in the manufacturing sector which start manufacturing by 31st March, 2023. Modification of concessional tax schemes for domestic companies under section 115BAA and 115BAB. Domestic companies who has opt for concessional rate u/s 115BAA and 115BAB can take deduction under section 80JJAA or 80M

21 Sep 2019 Tax concession for domestic companies 2020-21] to provide an option for a concessional tax at The total income of the company is to be.

1 Feb 2020 New provisions were introduced in September 2019, offering a concessional corporate tax rate of 15% to the newly incorporated domestic  6 Jul 2019 At present, the 25% concessional tax rate is available only to companies with sales of up to Rs 250 crore a year and to new manufacturing 

9 Mar 2020 However, once such a company opts for the concessional tax rate under section 115BAA of the Income Tax Act,1961, it cannot be subsequently 

16 Oct 2019 Sole traders and companies have similar tax and reporting obligations, but you should be aware of the key differences. In the table below, we 

Concessional tax rate for Electricity generation companies. In order to give boost to the manufacturing sector, new provisions were introduced in September 2019 offering a concessional corporate tax rate of 15% to the newly incorporated domestic companies in the manufacturing sector which start manufacturing by 31 st March, 2023. CBDT extends the concessional rate (5 per cent) of withholding tax on the interest payments to a non-resident on borrowing by way of any long term bonds in foreign currency 20 October 2014 Background Section 194LC of the Income-tax Act, 1961, (the Act) has been introduced by the Finance Act 2012. It Companies with sales of up to Rs 400 crore to be taxed at 25% At present, the 25% concessional tax rate is available only to companies with sales of up to Rs 250 crore a year and to new