SIAM Reaction On Finance Minister Announcements
SIAM President, Rajan Wadhera, welcomed the bold announcements made by Hon’ble Finance Minister today, including the reduction of the corporate tax rate to 22% and No Minimum Alternate Tax for companies not availing incentives under Income Tax Act.
Additionally, the reduction of corporate tax to 15% for new companies making fresh investments from 1st October 2019, will support investment and also FDI in the auto sector. This is expected to give a big boost to Make in India for the automobile industry.
Expansion of scope of CSR expenditure to include incubation centers and R&D activities will also help with R&D expenditures in the automobile sector.
All these set of fiscal measures are expected to uplift market sentiments and improve demand for automobiles.
Wadhera emphasized that these are indeed landmark announcements and would certainly help in reviving growth in the Indian Economy. He truly appreciated the leadership of Hon’ble Finance Minister in making India globally competitive in terms of taxation rates. These set of major tax reforms are a clear indicator of the Government of India’s commitment to improving the Business environment to give a definite boost to economic growth.
