New Delhi, Aug 16: Asserting he has personally taken up the proposal for introduction of a simplified tonnage tax in lieu of a corporate tax for maritime sector, Shipping Minister Shatrughan Sinha on Friday said a six-member committee has been formed to study the matter. "I have personally taken up this matter and we have had a meeting with the finance ministry", Sinha told reporters adding a six member committee is also studying the proposal.

"We are very hopeful that our meeting and the committee report, when completed, will bear fruit and will find acceptance of the Finance Ministry", he said.
Shipping Ministry sources said the Rakesh Mohan Committee recommendation for a tonnage tax in place of a corporate tax for the sector has been initiated for providing a tax-friendly incentive to give a boost to the maritime sector.
Instead of corporate tax based on profits, the tonnage tax would be calculated on the basis of a tonnage of cargo carried to various destinations, the sources said. Bureau Report