sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
Latest Expert Exchange
« Budget Extravaganza »
 How Union Budget 2018 impacts individual taxpayers
  How Budget 2018 will be different due to GST
 This is how Budget 2018 announcements may help you save tax
 Here's why the government advanced the Budget date
 Will Budget 2018 Reduce Your Income Tax? 10 Expectations
 How Budget 2018 will be different due to GST
 Will Budget 2018 cut tax on switch from dividend to growth option in mutual funds?
 Startup eco-system looks forward to the budget for addressing tax dilemma
 High time to prioritise non-tax revenue in the Budget
 Govt may abolish dividend distribution tax in budget
 Budget making in the GST era: paradigm shift

Companies for no change in tax rates in 2012-13 Budget
February, 07th 2012

Reeling under the impact of global slowdown and a high interest rate regime, India Inc on Monday demanded that tax rates be retained at existing levels even as finance minister Pranab Mukherjee expressed concerns about challenges facing the economy.

In their customary pre-Budget meeting with Mukherjee, industry leaders also demanded that healthcare services be kept outside service tax ambit, and privatise coal mines.

There are various challenges before us, including keeping inflation and fiscal and revenue deficit to manageable levels... which we all have to address collectively, Mukherjee said in his address to the industry leaders.

At the meeting, business leaders suggested that service tax base may be widened with a negative list, besides exempting infrastructure companies and SEZ units from MAT.

We have made a case for retaining tax rates at the present level. There should be no increase in corporate tax, service tax and excise, Ficci president R V Kanoria said in the Budget expectation.

Mukherjee is likely to unveil the Budget proposals for 2012-13 mid-March in Lok Sabha.

He also made a case for privatisation of coal mines, stimulating demand through fiscal measures and revisiting the concept of dividend distribution tax (DDT).

CII National Committee on Healthcare chairman Naresh Trehan sought infrastructure status for the healthcare sector as that would encourage companies in setting up hospitals in smallers cities and towns.

Besides finance and commerce ministry officials, the meeting was attended by ITC Ltd chairman Y C Deveshwar, HUL MD and CEO Nitin Paranjpe, Suzlon Energy founder Tulsi Tanti and representatives of industry chambers.

The industry leaders also sought infrastructure status for aviation, telecom and education sectors, and continuation of interest rate subvention scheme for exporters till 31 March, 2013.

In order to improve healthcare, the industry suggested that a benefit of tax deduction of Rs. 10,000 be given to citizens for preventive health check-up.

Industry representatives were in favour of a reduction in interest rates by 50 basis points to stimulate investment sentiment and stimulate demand.

They also demanded that exports be included in priority sector lending by banks and duty on readymade garments be either reduced or withdrawn.

Company bosses also sought clarity on the timeline for introduction of Goods and Services Tax (GST), besides rationalisation of MAT a levy that was introduced to bring zero-tax paying companies into the net. At present, companies pay MAT at 18.5%.

They also suggested implementation of the Direct Taxes Code (DTC) in its entirety to help arrest cases of tax evasion.

FIEO president M Rafeeq Ahmed said, Interest rate for the MSME sector should be capped at seven per cent and others at nine per cent and subvention should be provided to all sectors of exports at least till March 2013.

FIEO also sought complete exemption of excise duty on handmade carpets, reduction of excise duty on man-made fibres to four per cent (from current 10 per cent), and exemption of service tax on currency conversion for exports.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2018 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Content Management System development CMS development Content Management Solutions CMS Solutions Content Management Services CMS Services CMS Software

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions