Listing out his expectations from the upcoming Budget 2017, Shripal Gandhi, Founder & CEO of Swipe Technologies said that he expects local manufacturing of mobile handsets must be encouraged by the government with the right kind of incentives for the domestic players as home-grown mobile handset manufacturers face stiff competition from the global players as well as from the low-cost handset manufacturers from China.
“On the macro front, we feel that the government should provide definitive timeline on implementation of the Goods & Services Tax (GST), which is India’s biggest taxation reform since independence, which aims to create the national market for goods and services and make India an attractive destination for foreign investments,” he added. He also said that the country will gain from the implementation of GST, as it would promote exports, raise employment and boost growth. In the GST system, both central and state taxes will be collected at the point of sale. Both components (the central and state GST) will be charged on the manufacturing cost. “From the perspective of mobile handsets, the implementation of the GST will benefit individuals as prices are likely to come down. Lower prices will lead to more consumption, thereby helping all mobile handset manufacturers.”
“A time-bound concession in terms of duty waiver or incentives in terms of tax breaks to the mobile handset components maker will go a long way in ensuring the Prime Minister’s dream of “Make in India,” he quipped.
Narendra Modi government will be presenting Budget 2017 on February 1. Yesterday, Supreme Court dismissed the plea to change the Budget date from February 1. The Budget is special not only for the fact that it has been preponed but more importantly because it comes within months after Modi government’s massive demonestisation drive. Most analysts and economists expect Budget 2017 to be tax-payer friendly, especially given the pain that common man has faced after old Rs 500 and Rs 1000 notes ceased to be legal tender money.
Meanwhile, the Cabinet Committee on Parliamentary Affairs (CCPA) recommended holding of the Budget Session from January 31. The first part of the Budget Session will run till February 9. The 92-year-old practice of presenting a separate Rail Budget is going to end from this fiscal, with the Finance Ministry accepting Railway Minister Suresh Prabhu’s proposal to merge it with the General Budget.