Finance Minister Nirmala Sitharaman on Saturday asked India Inc. to invest in the economy so that the virtuous cycle kicks in.
Referring to the government’s decision to cut corporate tax rate, she said, the government had also opened up several sectors, including atomic energy and space.
Corporate tax cut
The government in September 2019 slashed the tax rate for companies that do not avail of any tax incentive to 22%. New manufacturing companies have to pay at an even lower corporate tax rate of 15%.
The Budget 2022-23, presented on February 1, proposed that the concessional 15% corporate tax rate would be available for one more year till March 2024 for newly incorporated manufacturing units.
Addressing members of the CII, she said industry should quickly partner with the government to help a virtuous cycle gain traction and push growth.