The government is planning to cut corporate tax in next 45 days, Revenue Secretary Shaktikanta Das said on Wednesday. This reduction will be a part of a plan to reduce the tax rate to 25 per cent in four years.
Finance Minister Arun Jaitley had announced in the budget session that the government would gradually lower the corporate tax by 5 per cent from 30 per cent in the next coming four years and would diminish various tax exemptions.
The revenue secretary also said that they will implement the Goods, and Service Tax (GST) from April 1, 2016, and preparations are going on for this.
The finance ministry is all set to unveil GST next year, and it had earlier set up two committees to suggest tax rates and make a strategy for the new indirect tax regime.
It has referred the Constitutional Amendment Bill for implementing GST to a Rajya Sabha Select Committee. The Lok Sabha has already passed the Bill. The monsoon session of Parliament will start from July 21.