New Delhi, Aug 25 (TIWN) The Indian government should move towards a simple tax structure with a single corporate tax rate of 25 per cent, without any surcharge or cess above it, global advisory KPMG has said in a report.

 The report titled "India: Redefining its growth path" observed that the Minimum Alternate Tax (MAT) should be withdrawn and Dividend Distribution Tax (DDT) should be replaced by the witholding tax.   "Following the global trend on lowering of corporate tax rates and maintaing competitivenesss, India should move to a simple tax rate strucutre -- single corporate tax rate of 25 per cent with no surcharge and cess," it said.   

In the Union Budget 2019-2020 presented in July, FinanceNSE 0.15 % Minister Nirmala Sitharaman proposed to raise the annual turnover threshold limit from Rs 250 crore to Rs 400 crore for availing a lower corporate tax rate of 25 per cent, thereby, lowering the corporate tax rate of companies earning up to Rs 400 crore from the previous 30 per cent.   The Minister also said recently that the tax rates for companies with over Rs 400 crore turnover will be gradually cut to 25 per cent and the government would support wealth creators.