Fact Check: Centre didn't propose to slash corporate tax in budget
Social Media Users are sharing a post with a claim that the government has reduced corporate tax from 18 percent to 15 percent.
By Newsmeter Network Published on 3 Feb 2022 4:06 AM GMT
Hyderabad: Social Media Users are sharing a post with a claim that the government has reduced corporate tax from 18 percent to 15 percent.
One of the posts read, "The "Hum Do, Hamare Do" Sarkar has not made any changes and has not reduced the income tax slab of the common man, while the corporate tax for crony industrialists has been reduced from 18% to 15%."
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Fact Check:
Firstly, NewsMeter checked the official website of the Ministry of Finance and found a press release dated February 1, 2022, titled 'Co-operatives to pay Alternate Minimum Tax and Surcharge at a reduced rate of 15% and 7% respectively.
"The Government, in order to provide a level playing field between co-operative societies and companies proposes to reduce the Alternate Minimum Tax rate for co-operative societies to 15 percent from the current 18.5 percent," announced the FM in the budget.
https://pib.gov.in/newsite/
Further, the team scanned Nirmala Sitharaman's Budget speech but did not find any mention of the same. However, we did come across a proposed reduction in Alternate Minimum Tax for 'Cooperative Societies' from 18.5 percent to 15 percent. Notably, companies pay Alternative Minimum Tax at 15 percent currently.
Additionally, we found DD National live parliament- presentation of Union Budget 2022 on YouTube. At 1:07:55 in the budget speech, Nirmala Sitharaman can be heard saying, "Currently, cooperative societies are required to pay Alternate Minimum Tax at the rate of eighteen and one-half percent. However, companies pay the same at the rate of fifteen percent. To provide a level playing field between co-operative societies and companies, I, propose to reduce this rate for the cooperative societies also to fifteen percent."
Hence, the claim is misleading. The Alternative Minimum Tax for 'cooperative societies' has been reduced from 18.5 percent to 15 percent
