41 firms contribute 10 per cent of total tax
A recently concluded study on taxes by Pricewaterhouse Coopers and FICCI, maintains that 41 companies contributed 10 per cent of tax collected by government in terms of Corporate tax and fringe benefit taxes (FBT).
The study, titled, Total Tax Contribution Survey 2008 says, “Government tax collections in India are dependent on a few large corporate entities which contribute significantly to the Indian government’s total receipt of corporate tax and FBT.”
The survey was done on 100 companies, belonging to S&P CNX Nifty and CNX Nifty Junior list and found 41 companies, having a total turnover and market capitalization of Rs 6,84,404 crore and Rs 10,718,84 crore, as top tax agents for the government. Out of these 41 firms 16 were from manufacturing sector, 8 from financial segment, 5 from information technology and 12 from other sectors.
The Executive Director of Pricewaterhouse Coopers, Ketan Dalal, said, “The impact of taxation in India is manifested by the average amount of total taxes borne and collected by the 41 participating companies, which is 16 per cent of their turnover.”
