Every Indian has a wish-list before presentation of budget and so do Suchi Mukherjee and Dewang Neralla. Mukherjee, the CEO and co-founder of Limeroad.com, a portal for women (of late men also) to shop for products, says that personal tax, digital economy and small entrepreneurs deserve a fair treatment to spur consumption and drive growth. Neralla, the MD & CEO of Atom Technologies, wants tax breaks for players in the digital payments space.
Read: FM Arun Jaitley provides insights on income tax collection in India
Mukherjee said that Finance Minister Arun Jaitley can do a fine balancing act by reducing the tax payable by individuals while keeping the taxpayer base intact. This, according to her, would leave more disposable income in the hands of people to spend and thereby fuel consumption.
She also said that the turnover limit for small and medium enterprises (SMEs) under section 44AD of the Income Tax Act be raised from the current limit of Rs 2 crore (enhanced in last year's budget).
"To boost MSMES, limit of presumptive taxation should be increased to 5 crore. This action will simplify the procedure and conserve resources for small scale vendors," she said.
Dewang Neralla of Atom Technologies said a slew of tax breaks for digital payments companies would help in pushing cashless economy.
The budget for 2017-18 will be presented by Arun Jaitley on February 1, 2017.
"I think it is perfect time that payments should be treated as core infrastructure and payment gateway providers also should be provided tax breaks on service tax, on corporate tax etc. for a limited period and government should also mandate digital payments for specific industry segments such as C2G payments," he said for his Budget 2017 expectations.
"To minimise risk and fraud, a central KYC registry for merchants should be set up and insurance scheme to be created for handling merchant and/or transactional fraud which is non-existent now. Government should also look at creating Payment Technology Parks where facilities and benefits can be provided similar to STPs," he added.
IDBI Capital Markets & Securities listed income tax cuts aimed at salaried employees via raising tax slabs and increase in rural subsidies to enhance rural income as some of its expectations from Budget 2017.
