Finance Minister Nirmala Sitharaman introduced the Taxation Laws (Amendment) Bill, 2019 in the Lok Sabha yesterday. The Bill provides domestic companies with a new option to pay tax at the rate of 22 per cent, provided they do not claim certain deductions under the IT Act.
Currently, domestic companies with an annual turnover of up to 400 crore rupees pay income tax at the rate of 25 per cent. For other domestic companies, the tax rate is 30 per cent.
The Bill also provides new domestic manufacturing companies with an option to pay income tax at the rate of 15 percent, provided they do not claim certain deductions.
The International Financial Services Centres Authority Bill, 2019, Special Protection Group (Amendment) Bill, 2019 and The Recycling of Ships Bill, 2019 were also introduced in the House yesterday.