10 quick guides to budget for corporate India
- Digital incentive will be given to small traders and businessmen having a turnover of ₹ 2 crore or less (only the people who have opted for presumptive tax).
- If you have debt, then you better pay it off or else it will result in deduction from business profits. A cap on deductibility has also been introduced.
FollowFinance Minister Arun Jaitley announced his fourth budget on Wednesday where he focussed on introducing measures to bring out unaccounted money and discourage the usage of cash from now onward.
However, many might be happy with the fourth budget but many are unhappy at the same time as well. The corporate India would be eager to know whether the Budget put them in a better place or would things get worse for them.
Here are ten exclusive points from the Budget 2017 that will help the corporate India to know it better:
## Companies having a turnover less than ₹ 50 crore (during 2015-16) will have to pay effective tax rate of 28.84% instead of 34.6%.
## Concessional tax rate of 10% will now apply. As a result, the non-resident tax payers can afford to smile because the downside rectification process will have to be undertaken for previous years.
## Digital incentive will be given to small traders and businessmen having a turnover of ₹ 2 crore or less (only the people who have opted for presumptive tax).
## If you have debt, then you better pay it off or else it will result in deduction from business profits. A cap on deductibility has also been introduced.
## Budget has boosted the market FPIs – Category 1 and 2 are going to get exempted from indirect transfer provisions and resultant capital gains.
## If you are claiming expenses against income from other sources, they you cannot get deduction unless and until TDS has not been done on such payments.
## Provisions of MAT proposed to be rationalised in line with Indian Accounting Standard. This will be adopted by India Inc.
## If you are receiving a dividend of ₹ 10 lakh then it will be taxable for residents, HUFs and firms.
## One cannot receive more than ₹ 3 lakh in cash from another person in a single transaction. In this case the penalty is massive as it will be equal to the sum received.
## Rupee Denominated Bonds (RDB) has been boosted as the investors can avail the reduced rate of 5%.
