New Delhi: The Rajya Sabha on Thursday gave its consent to the Taxation Laws (Amendment) Bill, 2019, replacing an ordinance that was used to slash corporate tax rates to stimulate growth.
The Lok Sabha has already passed the bill and the Upper House cleared the legislation with a voice vote without any changes.
Rajya Sabha gives nod to lower corporate tax rates As per rules, the Rajya Sabha cannot amend money bills but can recommend amendments.
A money bill must be returned to the Lok Sabha within 14 days, or the bill is deemed to have passed both houses in the form it was originally passed by the Lok Sabha.
Finance Minister Nirmala Sitharaman on Thursday said the lower 15 percent tax rate for new manufacturing companies will not apply to computer software development, mining, and printing of books.
She was replying to a debate in the Rajya Sabha on the Taxation Laws (Amendment) Bill, 2019 that replaces the Taxation Laws (Amendment) Ordinance, 2019, promulgated on September 20, 2019, to cut the base corporate tax rate.
The amendment carries a negative list of industries that will not qualify for a lower tax rate meant for manufacturing companies set up on or after October 1, 2019, but that begin production before 2023, she said.
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