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Automotive Industry To Benefit From Corporate Tax Cut, Says ICRA

India's automotive industry is likely to be one of the key beneficiaries of the recent corporate tax cut, credit ratings agency ICRA said on Monday

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India, Tax cut, Automotive Industry
India's automotive industry is likely to be one of the key beneficiaries of the recent corporate tax cut. Wikimedia Commons

India’s automotive industry is likely to be one of the key beneficiaries of the recent corporate tax cut, credit ratings agency ICRA said on Monday.

“Under the current weak demand conditions, OEMs (original equipment manufacturers) are expected to pass on some of the benefits of tax revision to the end consumers,” ICRA Vice President and Sector Head Pavethra Ponniah was quoted in a statement.

“This implies that the price correction in coming months will to an extent address the demand side issues. Moreover, clarity from the government, that there is no further GST or cess revision, will help consumers who were waiting for improved clarity prior to their car purchase decision,” she added.

According to ICRA, the current reduction of corporate tax rates in India to globally competitive levels will incentivise OEMs and their vendors to increase localisation, which augurs well for the industry.

In 2019-2020, India has imported auto components worth $17.6 billion.

India, Tax cut, Automotive Industry
the current reduction of corporate tax rates in India to globally competitive levels will incentivise OEMs and their vendors to increase localisation. Pixabay

ICRA also said that given the increasing US-China trade tensions, revision in corporate tax will attract FDI in Indian manufacturing sector, as the revised tax structure is now in line with other emerging markets.

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“In the current fiscal, the Indian automotive industry, especially the passenger vehicle segment, has witnessed one of the worst slides since the last two decades because of multiple factors,” the ratings agency said in a statement.

“Tighter financing environment for consumers and the liquidity crunch faced by dealerships coupled with weak farm income and overall slowdown in economic activity has impacted consumer sentiments and purchasing behaviour,” the statement added. (IANS)

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Most Hated Task by Professionals in India is Data Entry: Report

88% Indians believe bots should be used for admin work

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India bots
Eighty-eight per cent of people in India believe that humans shouldn't be carrying out repetitive admin tasks if they can be done by bots. Pixabay

Eighty-eight per cent of people in India believe that humans shouldn’t be carrying out repetitive admin tasks if they can be automated and this could be a better way to make use of technology, a new report said on Tuesday.

The Automation Anywhere — a global leader in Robotic Process Automation (RPA) surveyed more than 10,000 office workers and revealed that on an average they spend more than three hours a day on manual, repetitive computer tasks which are not part of their primary job.

The research, conducted by OnePoll, investigated the time spent on and attitudes towards manual, repetitive digital administration tasks in the modern enterprise.

India bots
Workers in India can focus on higher value tasks if the mundane repetitive tasks can be automated and be completed by bots. Pixabay

“As per the report, the most hated task for Indian professionals is Data Entry. Close to 80 per cent of the participants in India believe that admin work is an obstacle for them to do their main job,” said Milan Sheth, Executive Vice President India, Middle East and Africa, Automation Anywhere.

“Workers can focus on higher value tasks if the mundane repetitive tasks can be automated,” Sheth added.

New data shows that nearly half of workers surveyed who expressed an opinion find digital administration boring (47 per cent) and a poor use of their skills (48 per cent), while the majority say it gets in the way of doing their main job (51 per cent overall, rising to 80 per cent in India) and reduces their overall productivity (64 per cent).

According to the survey, Over half (52 per cent) of millennial respondents felt that they could be more productive if they had less administrative tasks to complete, slightly higher than the average at 48 per cent.

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The study also revealed that nearly half (49 per cent) of those surveyed say that simple digital administrative tasks often prevent them from leaving the office on time, 60 per cent of the Indian participants believe the same, indicating it’s impacting their personal lives. (IANS)