LIVE TV
ZEE Business
ZEE BUSINESS
हिंदी में पढ़ें  हिंदी में पढ़ें
Live TV
Live TV
  • Home
  • Budget 2021
  • Personal Finance
    • PPF
    • Mutual Funds
    • Income tax
    • EPFO
    • Income Tax Calculator
    • Personal Loan Calculator
    • Car Loan Calculator
    • Home Loan Calculator
    • SIP calculator
    • SWP Calculator
    • MF Returns Calculator
    • Lumpsum Calculator
  • India
    • Companies
    • Property
    • Startups
    • Uidai
  • Economy
    • Aviation
  • Tech
    • Mobiles
    • Apps
  • Auto
    • Cars
    • Bikes
  • Markets
    • Commodities
    • Currency
  • Jobs
  • Indian Railways
  • World
    • Economy
    • Politics
    • Markets
  • videos
  • photos
  • Authors
  • More ...
    • VIDEOS
    • PHOTOS
Read in App
Business News » Small Business News

Jaitley’s MSME sops to benefit only few

Union Minister for Finance and Corporate Affairs Arun Jaitley has proposed a reduced rate of 25% to companies that have reported turnover up to Rs 250 crores in the financial year 2016-17.

  • Twitter
  • Facebook
  • Linkedin
  • whatapp
  • View in App
Jaitley’s MSME sops to benefit only few
Jaitley said that the estimated foregone revenue for the financial year 2018-19 due to this measure is Rs 7,000 crore. Image source: IANS
Written By: ZeeBiz WebTeam
Updated: Fri, Feb 02, 2018
03:32 pm
ZeeBiz WebDesk
RELATED NEWS
0.25% rate cut is expected in RBI's monetary policy: Kalpana Morparia, JP Morgan 0.25% rate cut is expected in RBI's monetary policy: Kalpana Morparia, JP Morgan
 Five taxes to impact savings, investment decisions: Patel Five taxes to impact savings, investment decisions: Patel

Although the intent behind extending benefit of corporate tax rate to a wider base of MSMEs, as this would leave them with higher investible surplus and this in turn will help in creating more jobs, the announcement is likely to benefit few.

Union Minister for Finance and Corporate Affairs Arun Jaitley has proposed a reduced rate of 25% to companies that have reported turnover up to Rs 250 crores in the financial year 2016-17.

The FM claimed that this will benefit the entire class of Micro, Small and Medium Enterprises which accounts for almost 99% of companies filing their tax returns.

However, this may fall short of completely alleviating the problems of the sector as experts said that most of the small and micro enterprises are proprietorships and partnerships whereas the budgetary move applies only to companies, reports ET.

"Even though the step is welcome and will definitely benefit the sector, most small and micro enterprises are based on the business structure of proprietorships and partnerships which are not covered in the announcement," Jitendra Gupta, president, Laghu Udyog Bharti, an all India association of micro and small industries in India told ET.

Jaitley said that the estimated foregone revenue for the financial year 2018-19 due to this measure is Rs 7,000 crore. Out of the 7 lakh companies filing returns, only 7000 companies filing returns of income with a turnover above Rs 250 crore will remain in the 30% tax slab, he added.

The Finance Minister recalled that in the Union Budget 2017, he had announced the reduction of corporate tax rate to 25% for companies whose turnover was less than Rs 50 crores in financial year 2015-16. This had benefitted 96% of the total companies filing tax returns.

 

Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.

TAGS:
corporate tax rateFinance MinisterArun JaitleyJobsTax ReturnsUnion Budget 2018
RELATED NEWS
0.25% rate cut is expected in RBI's monetary policy: Kalpana Morparia, JP Morgan 0.25% rate cut is expected in RBI's monetary policy: Kalpana Morparia, JP Morgan
 Five taxes to impact savings, investment decisions: Patel Five taxes to impact savings, investment decisions: Patel

LATEST NEWS

Stocks in Focus on March 3: MTAR Technologies IPO, Tata Power, IRCON, Telecom Stocks to Tyre Stocks; here are the 5 Newsmakers of the Day

BPCL Privatisation News Today: Money! Special dividend to shareholders? Check latest stake sale update

7th Pay Commission latest news today: Central government employees alert! This premium is part of your allowance

Important news for BPCL investors: Anil Singhvi decodes Numaligarh stake sale, says set to get top valuation

Yes Bank Share Price: Experts unveil this money making strategy in this stock

7th Pay Commission Latest News: Grab this central government job with massive salary, vacancy with CBI—check details

PM Kisan Samman Nidhi 8th installment: Know when Rs 6,000 amount will be credited into your account-Steps to check your name, transaction details in beneficiaries list

Gujarat Elections Final Results Till Now: PM Narendra Modi bows to people of Gujarat for faith, affection towards BJP

Bitcoin : Microstrategy and Tesla are moving parts of their corporate treasuries into Bitcoin says CIti Research

Stocks to Watch: Symphony, Blue Star, Amber Enterprises shares to gain as IMD forecasts sizzling hot summer

  • India News
  • World News
  • Companies News
  • Market News
  • Personal Finance News
  • Technology News
  • Automobile News
  • Small Business News
  • Income Tax Calculator
  • Live TV
  • Videos
  • Photos
  • Author
  • Rss Feed
  • Advertise with us
  • Privacy Policy
  • Legal Disclaimer

Latest Trending Updates

  • EPFO
  • Budget 2020
  • Income Tax Return
  • Auto Expo 2020
  • Home Loan
  • Business News

Trending Topics

  • Income Tax
  • income Tax Calculator
  • 7th Pay Commission
  • Reserve Bank of India
  • GST
  • Latest Business News

Follow us on

zeebiz
zeebiz

Partner Sites

  • Zee News
  • Hindi News
  • Marathi News
  • Bengali News
  • Tamil News
  • Malayalam News
  • Gujarati News
  • Telugu News
  • Kannada News
  • DNA
  • WION
Copyright © Zee Media Corporation Ltd. All rights reserved