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<div>The â€˜Rightâ€™ Step</div><div>The economy received a shot in the arm, as contrary to its perceived stance the Government</div><div>swung right. It took the bold and decisive step of cutting tax rates by 10-25 per cent for</div><div>domestic companies. For new manufacturing investments, companies can now avail of a tax</div><div>rate of 17 per cent provided the new assets become operational before March 31, 2023. Old</div><div>assets cannot be shifted out of existing units to new units to avail this. Other reversals of</div><div>removal of surcharge on capital gains and connected with share buyback programs were part</div><div>of the offerings. The total booster shot was to the tune of Rs 1.45 trillion.</div><div>This new tax rate regime puts us in business in comparison with our Asian peers. Corporate</div><div>profits have been trailing for the past three years but this fresh dose will add 10 per cent to</div><div>profits after tax (PAT) for corporate India. This also puts to rest the murmurs of â€˜a socialistic</div><div>stanceâ€™ that were getting louder by the day. Clearly, the Government has bet this largesse on</div><div>growth. Additions to the bottomline will play out in the form of fresh investments and,</div><div>therefore, generate employment. However, this stimulus is not an â€˜instant voodooâ€™. It will pan</div><div>out over the next six months and will set the direction for the future, affirming that India is</div><div>welcoming and facilitating businesses. In the long run, only a rising economy will provide</div><div>tax revenues to run social welfare programs.</div><div>Social improvement schemes have begun to show positive outcomes; for instance, Swachh</div><div>Bharat. India has built 100 million toilets across 600,000 villages and another 6.3 million</div><div>cities. The results indicate, as per reports provided by IPE Global and Kantar, that 93 per cent</div><div>of people had access to toilets; people do not defecate in the open in 93 per cent of villages;</div><div>96 per cent of those who had access to toilets used them; all built toilets have been geo-</div><div>tagged and can be verified; and, according to WHO & UNICEF, there is a dramatic reduction</div><div>in cases of malaria and diarrhoea among children in areas that have been provided toilets.</div><div>At our SMART URBANATION event on September 24-25 in Bengaluru, over 45 smart</div><div>cities participated and shared their stories of success. â€˜Smart Cities have completed 20 per</div><div>cent of all the 5,000 projects in 100 smart cities. Projects worth Rs 1.41 trillion have been</div><div>tendered and the balance projects will all be tendered before March 2020, shared Smart</div><div>Cities Mission Director Kunal Kumar, Ministry of Housing & Urban Affairs,</div><div>Government of India, as he presented awards along with Anjum Parwez, Principal</div><div>Secretary, Government of Karnataka.</div><div>Ease of paying taxes, arbitration and stalled projects are the hurdles yet to be addressed in as</div><div>bold a manner as the Finance Minister dealt with the issue of tax rates. Some beneficial</div><div>announcements like obviating the need for a bank guarantee by the private organisation when</div><div>the arbitration award in its favour is being challenged have helped. But a lot more needs to be</div><div>done.</div><div>Mining promises to be a new frontierâ€”it is expected to grow four times in the next 10 years.</div><div>This festive season, as the dust settles on tax terror, NBFC defaults and a dull consumer</div><div>demand, a glimmer of optimism seems to be evident. INDIA CONSTRUCTION FESTIVAL</div><div>on October 15-16 at ITC Maurya in New Delhi, in association with ENR magazine, will</div><div>presents four block buster events:</div><div>v 9 th India Roads Conference</div><div>v 17 th Construction World/ ENR Global awards</div><div>v CW Leadership Summit</div><div>v 7 th Equipment India awards</div><div><br></div><div>Check out www.IndiaConstructionFestival.com for the latest updates and book your seats to</div><div>the event of the year in construction!</div>

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