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Opposition seeks answers to questions on economy from Centre

-The Telegraph

Corporate tax contributes 8 percentage points less to the gross tax revenue now than it did in 2014 when the Modi government took over, says P Chidambaram

New Delhi: The Opposition on Monday sought answers to fundamental questions on the economy that finance minister Nirmala Sitharaman has strenuously asserted is the fastest growing in the world.

Corporate tax, paid by business houses, contributes 8 percentage points less to the gross tax revenue now than it did in 2014 when the Narendra Modi government took over, Congress leader P. Chidambaram underlined in the Rajya Sabha.

The budget for this year reveals that gross tax revenue was Rs 27.57 lakh crore, of which corporate tax amounted to Rs 7.2 lakh crore or 26 per cent, he said. “In 2013-14, the gross tax revenue was Rs 11,55,838 crore, of which corporate tax was Rs 3,93,677 crore. As a proportion, corporate tax in the gross tax revenue was 34 per cent,” Chidambaram, finance minister in the UPA government, added.

“Who is contributing the other revenue? The rest is contributed by income-tax payers, middle class, upper middle class, other income-tax payers, excise duty payers, GST payers — which is you and I — customs duty, which is passed on to the common people, cesses, taxes on petrol and diesel, etc. That accounts today for 74 per cent!”  The 8 percentage point bounty on corporate tax works out to Rs 2.5 lakh crore, Chidambaram said.  

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