2,706 BSE-listed companies to gain from cut in corporate tax rate

The government said the lower corporation tax for medium and small enterprises (MSMEs) would leave them with higher investible surplus, which could be used to create more jobs

Over 2,700 companies listed on the Bombay Stock Exchange (BSE) are likely to gain from the proposed cut in corporate tax rate to 25% proposed by Budget 2018 from the existing 30%. 

A quick check based on the full financial year net sales reported by companies for the financial year 2016 – 17 (FY17) suggests that there are 2,706 listed companies on the BSE that have reported consolidated net sales less than Rs 250 crore, or Rs 2.5 billion, for the full financial year where this tax benefit has been extended, ACE Equity data show.

Some of the