It was on the 10th of July that the Finance Minister (FM) presented her first set of announcements for the Union Budget, 2019. The budget did not seem to please the Indian stakeholders as hoped. In addition to this, the Indian economy reaching six-year low put added pressure on the present government.
But, FM Nirmala Sitaraman came out with the biggest blockbuster that Friday (20th Sept.) – chopping corporate tax for domestic firms and new domestic manufacturing companies by almost 10 per cent.
The announcement caused an upstir in the National Stock Exchange as well. 20,000 points, the highest intraday gain the market has seen in a decade, was an immediate result of the news with both Sensex and Nifty ending the day with over 5 per cent gains.
While the impact on the stock market was very noticeable, Motia Group, best 3 & 4BHK apartments in Zirakpur, hopes that the Real Estate industry can make use of this platform to expand and grow.
As stated by our FM Nirmala Sitaraman, the new rates would be at par with the lowest tax rates seen in the South Asian region and in South East Asia. As a result, India will become a very attractive and favourable destination for foreign investments.
The decision to lower the corporate taxes was not only a relief for the current government but it also created the much-needed boost of almost 20 billion Dollars to the Indian economy especially after the six-year stump at 5 per cent and a 45-year high unemployment rate.
We at Motia Group are in complete agreement with the Governor of the RBI, Shaktikanta Das, in stating that the government’s move to slash the tax was a bold measure. We also commend the Honourable Finance Minister for taking the resolution to push the country towards greater economic prosperity.
Particularly, the step to cut corporate taxes is highly positive as it is already predicted to revive private investments with a ₹1.45-lakh crore tax break.
With the domestic companies and investors relieved from some taxation, they would now be able to make greater expenditures. This would also greatly help to expand the Real Estate industry of India.
Motia Group, residential Flats in Zirakpur, is sincerely grateful to the government that it has graciously reduced the corporate tax rates. It will provide the much needed help needed in uplifting the financial state of the nation as well as the Real Estate business.
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