Listing firms to cede 40pc stake to enjoy tax cut in bill

Investment brokers at the NSE. FILE PHOTO | NMG

Business owners taking firms public via a stock market listing will have to cede at least a 40 per cent stake to qualify for a lower corporate tax, according to a new less generous Income Tax Bill.

The draft bill says those listing the 40 per cent of shares will get to pay 25 per cent corporate tax for five years, compared to 30 to 35 per cent for other companies.

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