FIEO Welcomes Govt’s Announcement of CSR Allocation for Incubators

Sharing is caring!

FIEO President Sharad Kumar Saraf has welcomed the recent announcement by the government for allocation of 2% CSR fund on incubators, IITs, national laboratories and specified agencies engaged in conducting research.

It would not only establish industry-academia relationship but would give a push to R&D and product innovation which is need of the hour in exports particularly as India is focusing now on sunrise sectors of exports, the FIEO chief said.

Hailing the reduction in Corporate Tax Rate to 22% for domestic companies and 15% for new companies, Saraf said that such reduction would attract much-needed investment both through FDI route and domestic investment.

The timely move would also help in attracting investment from companies in China who are looking for new destinations for expansion or starting a new venture with an eye on US market.

It will encourage investment in the existing domestic companies also giving them the scale to cater to the huge market of US & China.

The technology companies in small segment may migrate to medium size companies with equity participation from overseas.

The effective rate of 17.01% is very attractive as the similar rate in US is about 21% and in China about 25%. The reduced rate has given further stimulus to investors attracted to India as a market, he said.

SMEStreet Desk

SMEStreet is fast growing platform dedicated to entrepreneurs from small and medium sized businesses (SMEs). Committed to facilitate Knowledge & Networking for Business Growth, SMEStreet offers value added content which shows the actual voice of Indian MSMEs.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Back to top button
%d bloggers like this: