« Top Headlines » Open DEMAT Account in 24 hrs  Missed the ITR Deadline but TDS Refund Is Due? Here’s How You Can Still Claim Your Money  ITAT Cuts ?4.85 Lakh Penalty After ?14.02 Lakh Interest Income Was Missed in ITR  ITR filed under old regime, tax calculated under new regime; Delhi ITAT gives taxpayer relief  ITAT Delhi Quashes Tax Notice on AMU PG Student’s ?18.34 Lakh Stipend, Declares It Tax-Free Under Section 10(16)  Advance tax deadline September 15: What happens if you missed the previous instalment payment?  How much gold jewellery can you keep at home? Nagpur ITAT explains rules on ownership, gifts, taxability  ?5.31 lakh TDS refund allowed by ITAT Delhi: Why absence of an original ITR did not block the taxpayer  Missed the ITR Filing Deadline? How to Claim Your Income Tax Refund and Correct Mistakes Before December 31, 2026  GST Return Preparation & ITC Analysis with TallyPrime (Hinglish Session)  GST Return Preparation & ITC Analysis with TallyPrime (Hinglish Session)  GST Return Preparation & ITC Analysis with TallyPrime (Hinglish Session) «  Direct tax collections may surpass indirect taxes this... Vodafone Essar replies to I-T Dept... » ESC seeks continuation of tax sops for software firms September, 08th 2007 The Electronics and Computer Software Export Promotion Council (ESC) on Friday sought continuation of tax sops beyond 2009 for the sector. "Tax benefits under Section 10A and 10B of the Income Tax Act are helping the Indian software and services firms in achieving competitive edge. Withdrawal of these benefits will be adversely affecting the head start advantage of Indian firms especially the SMEs," ESC Chairman Sanjiv Narayan said. These tax sops for software exporters are to end in March 2009, but companies have been demanding that these incentives should continue for another five years to help the industry remain globally competitive. ESC says about 10 per cent of the SMEs in IT sector could shut shop if tax sops are withdrawn. "The SMEs should be provided tax sops for five years to fix their roots deeply in the market," Narayan added. He said if these tax sops are withdrawn, small and medium-sized IT companies would have to re-locate to special economic zones, which would be very expensive for them. Explaining the impact if SMEs moved to SEZs, ESC executive director D K Sarin said their cost in terms of rental, manpower and land would increase. Commenting on the impact of Rupee appreciation on software exports, Sarin said: "The appreciation has shaved off the margins of IT companies substantially that have been operating in a thin band of 10-15 per cent." The government has set a export target of $ 50 billion by 2008 from IT and ITes sector. Out of this, about $ 46 billion is targeted from software and services and about $ four billion from hardware segment, Narayan said.