The share of direct taxes to India's total tax revenues peaked at 61 per cent in 2009-10.
Such an arrangement will lower the burden on smaller taxpayers, modestly better for mid-tier but raise tax incidence on higher tiers.
The section does not provide any timeline for companies to opt for the new regime of lower tax rate.
India’s unemployment rate reached 8.19 pc in Aug, up from 6.27 pc in the same month last year.
The GST Council raised tax on caffeinated beverages from 12 per cent to 28 per cent and imposed a 12 per cent cess.
Govt cut corporate tax rates in a surprise move designed to woo manufacturers, revive private investment and lift growth from a 6-year low.
The immediate benefit is increased cash flows to corporate India.
On Friday, the Centre announced a reduction in the base corporation tax rate to 22 per cent from 30 per cent.
At present, 60 per cent of auto components are taxed at 18 per cent.
Government slashed the income tax rate for companies by almost 10 percentage points to 25.17 per cent.