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New Delhi, Oct 29 (IANS) Senior officials of the PHD Chamber of Commerce and Industry (PHDCCI) on Wednesday met Revenue Secretary Arvind Srivastava to present the industry’s recommendations on direct and indirect tax policies.
As part of the ongoing pre-budget consultations, the government is holding a series of meetings with industry representatives to gather inputs for the upcoming Union Budget. The discussion focused on increasing ease of doing business and delivering tax benefits to the last mile.
After the meeting, Dr. Ranjit Mehta, CEO and General Secretary, PHDCCI, said that the discussion focused on both taxation and trade facilitation.
“We also discussed ease of doing business, which is the focus area of the government,” he said, adding that the chamber had shared specific suggestions to mitigate the liquidity challenges faced by micro, small and medium enterprises (MSMEs).
Srivastava described the government’s outlook as “very positive” and encouraging for the industry.
Former PHDCCI President Saket Dalmia said that the implementation of the new laws is facing challenges at the final level. “The government has taken note of these issues and responded positively,” he said.
PHDCCI’s indirect tax committee chairman Ashok Batra described the meeting as “very constructive”, noting that officials listened carefully to the industry’s concerns, especially with regard to input tax credit.
Joining the discussion, Mukul Bagla, Chairman, Tax Committee, PHDCCI, highlighted the need for a more progressive personal income tax structure.
“Despite the cut in personal income tax rates in the last budget, tax collections have increased by 6.5 per cent so far this year,” he said.
“We have suggested further extension of tax cuts – 20 per cent tax rate on income up to Rs 30 lakh, 30 per cent on income up to Rs 50 lakh and 50 per cent thereafter – so that the salaried class can benefit from economic growth,” he said.
The government is expected to continue talks with various industry bodies in the coming weeks before finalizing its proposals for the Union Budget.
–IANS
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