PR No – 101
20th June, 2024
New Delhi
Note: Embargoed till 4PM, 20th June, 2024
PHDCCI interacts with the Hon’ble Finance Minister, Ms. Nirmala Sitharaman, Government of India on Pre Budget suggestions 2024-25
PHDCCI in its interaction with Hon’ble Finance Minister suggested to bolster manufacturing sector, support consumption demand and provide relief to middle income group with rationalization of tax slabs.
Industry body suggests 10 reforms to strengthen India’s journey towards Viksit Bharat.
- Further reforms to enhance the manufacturing share in GDP to 25% by 2030.
- Expand the PLI scheme beyond the 14 sectors with addition of more labour intensive sectors.
- Change in Classification Norms of MSMEs for NPAs from the 90 days limit to 180 days.
- Rationalization of direct taxes for the middle class.
- Focus more on tier 2 and 3 cities with state of the art infrastructure and smart villages with adequate facilitation of public utilities.
- Status quo on the corporate tax rates.
- Strengthen University-Industry Linkages to enhance R&D activity in the country.
- Reduce costs of doing business including costs of capital, costs of power, costs of logistics, costs of land and costs of compliances.
- Implement the four labour codes across the states to enhance the competitiveness of the industry.
- Strengthen supply chains and address the shortages in key food items to mitigate inflationary pressures.
We recommend status quo on the corporate tax rate at 22 percent for existing companies and 15 percent for new manufacturing companies incorporated after October 1, 2019 to enhance the manufacturing share in GDP, said Shri Sanjeev Agrawal, President, PHDCCI.
The middle class must be spared from the 30 per cent tax rate and this rate must be applicable only to those with taxable income above Rs. 40 lakh, this will support consumption demand in this country, said Shri Agrawal.
The delegation, comprising Mr Sanjeev Agrawal, President, Mr Saket Dalmia, Immediate Former President, Dr Ranjeet Mehta, Executive Director, Dr. S P Sharma, Chief Economist | Deputy Secretary General, and Mr. Nanda Mishra, Joint Secretary, PHDCCI, presented the Pre Budget Memorandum to the Hon’ble Finance Minister, Government of India.
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Warm Regards,
Media Division