for giving impetus to economic growth: Mr. Neeraj Jain, CFO, Cosmo Films
Manufacturing companies need regular re-investment in business which facilitates capacity addition hence economic growth and new employment generation. Corporate tax rates rationalization would facilitate required re-investment in business. In line with Government’s commitment to bring down corporate tax rate, we expect the government cuts corporate tax rate to 25% across the board irrespective of turnovers to spur economic growth.
SEZs were initially formed by the Government with clear focus on tax rationalization for specified period; however, later MAT was imposed on SEZ units as well. Units functioning in SEZs should not be subject to MAT which is currently impacting re-investment in SEZ business.
Further, government has recently taken constructive steps towards making GST compliance simpler for the companies/industry. Going forward, we expect further simplification of the GST guidelines.