DESH Bill: Commerce dept may scrap concessional corporate tax provision

The Department of Commerce is likely to drop the concessional corporate tax provision under the Development of Enterprise and Service Hubs (DESH) Bill after the finance ministry expressed objections, stating there should be a uniform tax rate for all companies, said people in the know.

In July, the commerce department sought inter-ministerial comments on the DESH Bill that aims at replacing the existing special economic zone (SEZ) law.

The Bill had proposed freezing the concessional corporate tax rate of 15 per cent until 2032 for all greenfield/brownfield units (subject to certain conditions) in these hubs under Section 115BAB of the