Rationalisation of corporate tax had been a long pending demand, which is now a reality. This move will make our co… https://t.co/UPmTwChiql — Amit Shah (@AmitShah) 1568967550000

Modi government is committed to making India a big manufacturing hub and this decision along with previous announce… https://t.co/iRiIrGNLuz — Amit Shah (@AmitShah) 1568967550000

A headline-itis afflicted, panic-stricken Modi Sarkar has cut corporate tax rates less than 3 months after a Budget… https://t.co/kaoD3YXxIr — Jairam Ramesh (@Jairam_Ramesh) 1568959814000

Timing of FM announcement dictated by #HowdyModi event. PM can now say, "I have come to Texas promising lower Taxes… https://t.co/8vbv2gLTLL — Jairam Ramesh (@Jairam_Ramesh) 1568961543000

Good: #GOI #FM reduce corporate tax rate drastically. Bt arbitrage btwn highest individual tax rate (42% effective)… https://t.co/WDycj6qK9N — Abhishek Singhvi (@DrAMSinghvi) 1568961495000

NEW DELHI: The BJP on Friday cheered the government's decision to slash corporate rate tax to boost economy even as the Congress slammed the "constant rollbacks" of measures announced in the Budget.The government on Friday slashed the corporate tax rates for companies by almost 10 percentage points to 25.17 per cent and offered a lower rate to 17.01 per cent for new manufacturing firms to boost economic growth rate from a six-year low by incentivising investments to help create jobs.The BJP described the announcements as a "revolutionary boost" that will make the Indian market "much more exciting" for investors."Modi government is committed to making India a big manufacturing hub and this decision along with previous announcements on relaxing FDI will go a long way in realising this objective," BJP president Amit Shah , also Union home minister, tweeted, calling it a bold move.Amit Shah also said this move will make Indian firms globally competitive and the country's markets much more exciting for potential investors.However, the Congress criticised the government and said "constant rollbacks" may give an "impression of progress through stock market bumps" but these will lead to worsening of the economic situation and are unlikely to revive investments.Questioning the timing of the corporate tax cut announcement, the opposition party alleged that it has been dictated by Prime Minister Narendra Modi 's 'HowdyModi' event in the United States.Congress leader Jairam Ramesh welcomed the reduction in corporate tax rates but expressed doubts on whether the step will revive investment. Asking whether it was the prime minister's "trump card", he said the government's move does nothing to dispel the fear that pervades India Inc."A headline-itis afflicted, panic-stricken Modi Sarkar has cut corporate tax rates less than 3 months after a Budget and 4 months before the next one. This is welcome but it is doubtful whether investment will revive. This does nothing to dispel fear that pervades in India Inc," Ramesh said on Twitter."Timing of FM announcement dictated by #HowdyModi event. PM can now say, 'I have come to Texas promising lower Taxes'. Is this his 'trump card'?," the Congress leader asked.At a briefing, Congress chief spokesperson Randeep Surjewala claimed that the reduction in corporate tax rate is the government's "panic reaction" to tide over the sinking stock market and claimed that the Modi dispensation 2.0 has turned out to be an "economic and political disaster" for India.Another Congress leader, Abhishek Singhvi , said drastic reduction in corporate tax rate is good but the arbitrage between highest effective individual tax rate of 42 per cent and higher effective corporate rate of 25 per cent begins to look absurd."Good: GOI, FM reduce corporate tax rate drastically. But arbitrage between highest individual tax rate (42% effective) and highest effective corporate rate of 25% begins to look even more absurd. If animal instincts are required for growth, I predict 35% Individual rate yields more than 42% (sic)!" he tweeted.Meanwhile, the government's move was welcomed by several leaders of the ruling coalition.Lauding Prime Minister Narendra Modi and Finance Minister Nirmala Sitharaman , the party's working president J P Nadda said the announcement made by her will give "revolutionary boost in promoting investment"."When the going gets tough the tough gets going. Ma'am Nirmala Sitharaman, you proved it today," BJP general secretary (organisation) B L Santhosh said.BJP ally and Union minister Ram Vilas Paswan dubbed the measure as "historic", saying it will boost domestic companies.CPM general secretary Sitaram Yechury said only Left parties can challenge the "rightist disorientation" and a "definite fascist trend" in the country."Modi government in the past months has provided a relief of over Rs 2.25 lakh crore to the rich in the country but has shied away from helping the farmers who are forced to commit suicide due to farming sector distress," Yechury said at a convention of several Left parties.