Relief for middle class?
Middle class can hope for a big relief in the upcoming budget, the last regular Budget of the NDA government, as the finance ministry is contemplating to hike personal tax exemption limit and tweak the tax slabs, according to sources. The proposals before the ministry is to hike the tax exemption limit from the existing Rs. 2.5 lakh per annum to at least Rs. 3 lakh if not 5 lakh, they said. The salaried class might have reasons to be happy as this would help them tide over the impact of retail inflation.
Govt aims at higher direct tax collection
Top officials in the tax department say they have been asked to ensure additional collection of at least Rs 20,000 crore this financial year. The target for personal and corporate tax receipts was set at Rs 9.8 lakh crore for 2017-18. Pressure has increased on the direct tax department to exceed its tax collection target, as doubts about revenue receipts grow larger. Direct tax collections grew by more than 18% in the first nine months of the fiscal year.
Modi set to sell India as investment destination at Davos
Prime Minister Modi is prepared to hard-sell India as an investment destination at the five-day World Economic Forum at Davos which starts on January 22. Modi will be addressing the inaugural plenary session at the WEF on Jan 23. The meeting will be attended by 350 political leaders including over 60 heads of states. Referring to the prime minister’s visit Commerce and Industry minister Suresh Prabhu said, “It will definitely help India to get inbound investment and portray India’s real profile.”
Indian economy to grow by 7.3% in 2018-19: World Bank
The World Bank is estimating India’s economy to grow by 6.7 per cent during the current fiscal year, higher than the 6.5 per cent estimate by the Indian government. The Gross Domestic Product (GDP) growth is expected to rise to 7.3 per cent in 2018-19, making India again the world’s fastest growing economy, according to the World Bank’s Global Economic Prospects report. The Bank forecast GDP growth of 7.5 per cent in 2019-20 and 2020-21. The World Bank saw benefits in the long run from GST.
FICCI urges govt to reduce corporate tax
Industry body Ficci has asked the government to lower corporate tax rate to 28 per cent from 30 per cent in the upcoming Budget, a move that would boost the industry and help tide over the problems created by the US tax reforms. Finance Minister Arun Jaitley in his 2015-16 Budget had promised to reduce the corporate tax rate to 25 per cent over the next four years. However, he has not been able to cut the rates.