Indian Accounting Research Analyst, Trudence Capital Advisors

Nitin Mangal

Nitin is founder of Trudence Capital with more than 15 years of experience in Indian equities. He is Pioneer of Corporate Governance and Accounting Research in Indian Market and has successfully developed product for Institutional Investors named as "Analysis Beyond Consensus" during his association with Edelweiss Securities Ltd, Mumbai.  Later during the career, he has worked with Veritas Investment Research Corporation, Canada as Asia Consultant covering Indian and US equities. He has been profiled by leading financial news papers such as Wall Street Journal, Financial Times, Business Standard etc.

Indian Accounting Research Analyst

Cross Asset Strategy

<p>This morning our Honorable Finance Minister Ms Nirmala Sitharaman acted as a Santa to all the industry players by slashing the corporate tax rate from 30% to 22% plus surcharge and cess (without exemption). This reduced the effective tax rate from 34.99% to 25.17%. While the market took the news in an extreme positive manner as <a href="https://www.smartkarma.com/entities/nifty-index" target="_blank" data-smartkarma-citation="entities:23617:1" rel="noopener">NIFTY Index (NIFTY INDEX)</a> surged by 5.32% with a view that EPS for the Nifty index will increase by ~10%, in reality its more or less an illusion.</p>

This morning our Honorable Finance Minister Ms Nirmala Sitharaman acted as a Santa to all the industry players by slashing the corporate tax rate from 30% to 22% plus surcharge and cess (without exemption). This reduced the effective tax rate from 34.99% to 25.17%. While the market took the news in an extreme positive manner as NIFTY Index (NIFTY INDEX) surged by 5.32% with a view that EPS for the Nifty index will increase by ~10%, in reality its more or less an illusion.

India Corporate Tax Rate Cut: The Dip Is Not as Deep