Tax cuts - corporates must reduce prices

The attached tells u how much they can. All fmcgs can reduce price between 0.5% -3%

Remains to be seen if they profiteer or pass on. more  

View all 6 comments Below 6 comments
Look at the timing. Friday morning, FM announces concessions to India Inc. and by Saturday noon election commission announces elections in two states. That means the announcement was made just before the moral code of conduct came into existence. Or election commission waited till this announcement was made.

Next obvious question is, who is going to fund election campaign? If India Inc., naturally they will pass on benefits either to electoral funding or consumer. Choice is obvious and therefore, we know the end results.

1.46 Lakh crores worth of concessions saw capital gain in share market worth 7.5 Lakh crores just in the trade if a single day. Will that income of 7.5 lakh crores be taxed or used for electoral funding? more  
Most likely the tax cut will not result in decrease in the price.Even it comes, it will come after three months, as the products with printed price, will take three months to get exhausted from the market. more  
Deaar Sudesh: I think you are living in a " Fool's World "..!!.. FMCG companies or for that matter any industrial organisation in India will never pass on the residual benefits of a Govt. bonanza, to the end consumer. Have they done so whenever such windfall had taken place, earlier ..??.. The clear answer would be " NO "..!!.. AT best, FMCG companies would choose to mark their packets with a " 10% Extra " or a " 20% Extra " in their selling packs and WITHDRAW THE SAME FROM THE SHELVES, ONCE THE DIN DIES DOWN ..!!.. Even Hotels and Restaurants have never passed on the benefits of Govt.'s midterm benefits to the end consumer. IN INDIA, THE AVERAGE CITIZEN ( the end Consumer ) IS THE BIGGEST FALL GUY..!!.. more  
If the price of goods are not competitive, then use it for reducing the price, else use it for capex to develop the business further! Prices are always related to demand and supply. more  
What are you talking about? Don't we remember that, when GST on hotel food was reduced, hotel industry had increased prices by 10%. And, had previous reductions in GST, never saw any price reductions in consumer products. This will also not be an exception. It is just a gift to INC by Indian Government from taxpayers money. more  
Post a Comment

Related Posts

    • J and J profiteering of 2.3 Billion caught with circle efforts

      The National Anti-profiteering Authority is investigating Johnson & Johnson Pvt Ltd for not passing on the reduction in goods and services tax on a range of its products to customers, a governm...

      By Garima Sharma
    • Why are NAA profiteering orders getting stayed

      Why NAA is not being diligent on how hearings are done and orders are passed. 3 people do the hearing, 4 people sign the order. The Mumbai High Court uses that as basis and stays the NAA order. Sho...

      By Sridhar Mohan
    • Maruti acts after our circle post

      After announcing they wont reduce discount Maruti announces Rs 5k cut in car prices to pass on benefit of reduced corporate taxes but only on select models : Alto, Celerio, ignis & diesel varia...

      By Anil Mehta
    • Auto Companies Profiteering

      All auto companies are saying they will not pass benefit of tax cuts to consumer. this is just terrible. Isnt this straight profiteering? Hows this different from govt reducing gst and t...

      By Varun Bhawnani
    • New GST rate reductions

      A uniform GST rate of 12 % will be levied on woven/non-woven polyethylene bags GST council cuts tax rates on job work in diamond industry to 1.5% from 5% In a major boost to gems and jewe...

      By Anil Mehta
    • Complaint to GST online...

      How to submit online complaint to GST authorities for supplier not remitting GST and we cannot get ITC. Please suggest way out...

      By Vadiraj Bilgi
    • Multiplexes getting booked for profiteering

      Seems like our complaints are leading to good actions. apparently NY Cinemas, PVR Cinemas and the Prasads Multiplex chains are all being investigated for profiteering for not passing gst benefits t...

      By Sridhar Mohan
    • GST Rates Reduction and Profiteering Complaints

      GST law requires suppliers of goods and services to pass on any reduction in the rate of tax or the benefit of input tax credit by way of commensurate reduction in prices. If this is not done, a c...

      By National Anti Profiteering Authority (NAA)
    • PVR cinepolis profiteering big time

      Everyone should report profiteering by multiplexes if observed. Find an old ticket of 2018 and one of 2019 PVR Cinemas and Cinepolis theatres are under the scanner of the anti-profiteeri...

      By Garima Sharma
    • Haier profiteering

      Didnt the Govt of India change gst rates from 28% to 18% for refrigerators? Funny that brands like haier even 13 months after rate reduction maintain their mrp at 65000 NAA ki...

      By Garima Sharma
Share To
Enter your email & mobile number and we will send you the instructions

Note - The email can sometime gets delivered to the spam folder, so the instruction will be send to your mobile as well

Please select a Circle that you want people to invite to.
Invite to
(Maximum 500 email ids allowed.)