Accepting the challenge of maintaining the fiscal deficit at 4.1% for the financial year 2014-15, a budgetary framework has been cast - amendments made on the personal tax front reflect the overall objective of fiscal prudence.
The government has increased the limit from 26 per cent to 49 per cent under the government approval with continuity of control in Indian hands.
It's a budget that focuses on the 5 Ts - Talent Tradition, Tourism, Trade and Technology - a term coined by the Prime Minster, Narendra Modi, to build Brand India : Sab ka saath, sab ka vikas and a vibrant and strong India.
Asim Dasgupta, finance minister of West Bengal in the Left Front government, from 1987 to 2011 says centrally sponsored schemes on state subjects should be transferred to states along with the funds.
While the industry has created a strong focus on sustaining growth, there are a number of Transfer Pricing issues that have created hurdles in doing business for companies, increasing litigation and uncertainty.
Business Today spoke to Vidyut Gulati, Partner, Amarchand Mangaldas, on steps she expects Finance Minister Arun Jaitley to take in the Budget.
KPMG says with regard to Special Economic Zones (SEZ), a couple of regulatory disparities may be observed in regard to: provision of Service by an SEZ unit to a unit in Domestic Tariff Area and setting up of a Disaster Recovery Centre or Business Continuity Plan Centre.
The most pressing issue before the Finance Minister is the revival of investments and the economy.
Vikram Doshi, Partner - Tax, KPMG in India says explicit and clear tax laws on this issue would act as an impetus for the foreign investors who have the necessary expertise and technology to participate and execute large EPC contracts in India.
Expecting Budget 2014 to be in vibrant 'Modi style', India awaits with bated breath. However, with the not-so-populist railway budget, there could be uncertainty about its favourableness.
The PE industry is, therefore, hopeful that with the new government in place, Budget 2014 will introduce proposals that usher in an era of certainty for the investing community.
A stable tax regime has a substantial role to play in economic growth. Indirect taxes are a major contributor to the tax revenue. People are expecting that certain tough measures may be announced in the tax proposals of Budget 2014/15.
The clear majority enjoyed by the new government has made the common man look up to the upcoming Budget in July with greater expectation.
The recent amendments to the indirect-tax laws have further added to the already unresolved challenges faced by the IT industry.
The need for fiscal consolidation and the general perception that the duty cut had little impact on reviving growth could tempt the finance minister to roll back the concession.
The auto sector has placed high hopes on the new government to revive the economy, by taking decisions to implement tax reforms such as the Goods and Services Tax and policies that boost investment inflows and infrastructure development.
R&D spend is an indicator of competitiveness of a country's economy and many countries have set a target of investing one per cent of their GDP on R&D.
The Acchhe Din Lanewali Sarkar must be aiming at bringing out some big-ticket changes in this Budget that would bring a feel-good feeling to industry without disturbing the deficit calculations of the finance minister.





