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Rahul Gandhi slams corporate tax cut ahead of 'Howdy, Modi' event, says 'amazing what PM can do for a stock market bump'

FP Staff

New Delhi: Congress leader Rahul Gandhi on Friday said he is amazed at what Prime Minister Narendra Modi is ready to do for a stock market bump ahead of his 'Howdy, Modi!' event in Houston, which he termed as the world's most expensive event ever.

He said no event can hide the reality of the economic "mess" 'Howdy, Modi!' has driven India into.

"Amazing what prime minister is ready to do for a stock market bump during his #HowdyIndianEconomy jamboree. At + 1.4 Lakh Crore Rs. the Houston event is the world's most expensive event, ever! But, no event can hide the reality of the economic mess 'Howdy, Modi!' has driven India into," he said on Twitter.

The Congress leader's attack comes after the government announced slashing of corporate tax rates for companies by almost 10 per cent to 25.17 per cent to bring them at par with Asian rivals such as China and South Korea, as it looked to boost demand and investments.

Battling a six-year low economic growth and a 45-year high unemployment rate, Finance Minister Nirmala Sitharaman announced the step two-and-half-months after presenting her maiden budget, that was hailed as "development-friendly" and "future-oriented".

Sitharaman announced fiscal measures that will cost the government Rs 1.45 lakh crore in revenue annually.

In the fourth phase of post-budget economic stimulus measures, Sitharaman cut base corporate tax for existing companies to 22 per cent from current 30 per cent and for new manufacturing firms, incorporated after 1 October, 2019 and starting operations before 31 March, 2023, to 15 per cent from current 25 per cent.

Also See: Corporate tax cut: Nirmala Sitharaman silences doubters, changes perception around the state of the Indian economy

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