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Section 115BAB for new manufacturing companies (set up after 1 Oct 2019) is at:
A25% (per relevant Section) (per relevant Section)
B22%
C15% basic + 10% surcharge + 4% cess (per relevant Section)
D30%
Answer & Solution
Correct answer: C. 15% basic + 10% surcharge + 4% cess (per relevant Section)
1. Section 115BAB: 15% concessional rate for new manufacturing domestic companies set up on or after 1 October 2019.
2. Effective rate 17.16% (post surcharge & cess).
3. Manufacturing must commence by deadline (extended for some sectors). Specified deductions forgone.
_Source: ICAI BoS CA Final Paper 7, Ch 9 "Assessment of Various Entities"_
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