Saturday, July 20, 2024

India Inc urges FM to ease tax burden on ordinary citizens

NEW DELHI, JUNE 21: India Inc on Thursday urged Finance Minister Nirmala Sitharaman to ease the tax burden on ordinary citizens, sustain capital expenditure and take steps to curb food inflation in the upcoming Union budget.
During pre-budget consultations with Sitharaman, industry leaders and associations stressed on rapid infrastructure development to maintain growth. They underscored the importance of the MSME (Micro, Small, and Medium Enterprises) sector, a major employment generator.
The full budget for 2024-25 is expected to be presented in Parliament next month.
Sanjiv Puri, president of the Confederation of Indian Industry (CII), proposed 8 points for the consideration of the Government. These included income tax relief for lower-income brackets, streamlining employment-linked incentive schemes such as the production linked incentive (PLI) plan and improving ease of doing business. The CII also recommended measures for agriculture and rural development.
Subhrakant Panda, immediate past president of the Federation of Indian Chambers of Commerce and Industry (Ficci), outlined a 10-point agenda focused on capital expenditure, innovation and tax simplification.
Panda stressed the need to stimulate demand, prioritise infrastructure development, address food inflation, support MSMEs and enhance innovation and research and development.
Industry body Assocham expressed confidence the new Government would proceed with a strategic focus on capital expenditure, prioritising investment in infrastructure, education and healthcare.
“By prioritising investments in infrastructure, education, healthcare, and other critical sectors, Government can stimulate economic growth while maintaining fiscal discipline”, Assocham President Sanjay Nayar said.
Vivek Jalan, Chairman of the National Fiscal Affairs and Taxation Committee of the Bengal Chamber of Commerce and Industry, called for easing licensing requirements for electronics imports.
More meet-ups
Financial sector representatives sought the streamlining of capital gains tax and a reduction in the securities transaction tax.
In a separate meeting with Sitharaman, they emphasised the need for stable, long-term tax policies. George Alexander Muthoot, MD of Muthoot Group, highlighted market deepening measures and providing tax incentives.
Non-banking financial companies (NBFCs) sought more funds from Sidbi and Nabard for refinancing and clarity on GST for co-lending and service fees.
(Courtesy: TT)