Budget 2020: 15% tax for new units likely to stay for 2 more years

Invest India demands accommodating companies set up a few months earlier

The government, in the upcoming Budget, is likely to relax the condition for a concessional corporation tax rate for new manufacturing units and push back the deadline for starting production by two years.

Besides, Invest India, the investment facilitation arm of the Department of Promotion of Investment and Internal Trade (DPIIT), is set to pitch for extending the lower corporation tax rate to units that were set up a few months before the October 1 margin.

Finance Minister Nirmala Sitharaman had on September 20 last year announced corporation tax rate cuts for manufacturing units that are set up on or