Industry body PHD Chamber said it expects more reforms in the agriculture sector and rationalization of direct taxes in the forthcoming interim Budget. "The last five budgets of the present government focused on each and every segment of the economy. Going ahead, we look forward to the continuation of the dynamic reforms in the forthcoming budget.”
According to reports, the last Budget of the government is expected to be presented before the Parliament on February 1.
PHD Chamber also said, “Consistent indirect tax revenue growth with a reduction in GST rates by the government indicates that the tax base is widening and economic activity is rapidly increasing in India. At this juncture, the economy needs further bold measures to boost the investment environment and to trigger demand growth to the next level.
It further said, “Now the time has come to rationalize the direct taxes starting from reduction in Corporate Tax to a level of 25% for all corporate taxpayers, without any turnover criteria. This will provide a boost to economic growth and would result in widening of the Direct Tax net, enhance collections and promote compliance further.
“Income up to Rs 3.5 lakh should be considered for tax exemption, instead of the present Rs 2.5 lakh and the maximum personal income tax rate should be towards 25% to increase the personal disposable income which will boost demand in the economy. The maximum marginal slab should also be raised to Rs 15 lakh instead of Rs 10 lakh, it added.”
