Budget 2018: Revenue shortfall may put corporate tax cuts on hold
Businesses waiting for Indian Prime Minister Narendra Modi to follow through on a pledge to cut corporate taxes may need to wait a bit longer.In his last full budget 2018 before 2019 elections, Modi is facing a revenue squeeze that may make it difficult to deliver on a promise to lower the basic corporate tax rate over time to 25 percent from 30 percent. It’s a catch-22 situation for the premier, who is also trying to lure foreign investors at a time when the US, UK and other countries are lowering business taxes. Here’s a look at Modi’s challenge ahead of the government’s budget on Thursday.