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Decision to reduce corporate tax to 22 percent is commendable: CM

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September 20, 2019
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Chief Minister Jai Ram Thakur said that various announcements for the economic growth and the decision to implement important economic reforms made by Union Finance Minister during GST Council meeting held at Goa today was historic.

The Chief Minister in his press statement issued here today said that the decision to reduce the corporate tax to 22 percent is commendable and these announcements will have far reaching results and it will improve the economic situation of the country. Chief Minister said that under the dynamic leadership of the Prime Minister Narendra Modi the country is heading towards becoming a biggest economy of the World. He said that for this the business world, young entrepreneurs and MSME areas would play important role.

He said the GST Council has recommended reduction of GST on hotels. Now rate of tax on hotels with room tariff upto Rs. 1000 will be nil, the rate of tax between room tariff of Rs. 1001 to 7500 will be 12 percent. The rate tax for rooms with room tariff above Rs. 7501 will now be 18 percent. He said the elimination of 28 percent slab entirely for hotels and rationalisation of GST rates on hotels will lead to greater investment in this sector and help in growth of tourism in the state.

Jai Ram Thakur said that Prime Minister Narendra Modi has resolved to make India a 5 trillion dollar economy by the year 2024-25, which will truly make a new India. He said that on the economic front, an attempt has been made by the Modi government to bring new life to the industry through new reforms.

The Chief Minister said that GST decisions taken in the council meeting and tax exemption will increase investment, employment and economic activities under ‘Make in India’ and will also increase revenue generation. He said that to accelerate the economy of the country this kind of big decision has been taken for the fifth time within four weeks.

Jai Ram Thakur hoped that this decision would bring positive results and India would emerge as a strong economy. He said that soon after the decisions taken by the council today, there has been a jump of 1900 points in the stock market, which is a good sign for the economy.

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