InvestorQ : What are the special benefits that the Finance Minister has announced for new manufacturing facilities being set up?
Mahima Roy made post

What are the special benefits that the Finance Minister has announced for new manufacturing facilities being set up?

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Aditi Sharma answered.
2 years ago
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New domestic companies will now pay income tax at 15%. This is intended to attract more investment in manufacturing and boost Make in India. This new manufacturing facility can be set up by new companies, private companies or even by existing companies. The only condition is that it should be a manufacturing company and should commence operations between October 1, 2019 and March 31st 2023. Any company making fresh investment in manufacturing will have the opportunity to pay income tax at a rate of 15 percent. Here again there will be no rebates and exemptions available to the manufacturer. This is not applicable to existing companies. The effective tax rate for these companies will be 17.01 percent inclusive of all surcharge and cess. On the base rate of 15% tax, there will be surcharge at 10% and cess at 4%.

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