The Government has accepted and acted on many recommendations of the Tax Administration Reform Committee, said Bhubaneswar Stock Exchange former Chairman Vivek Pattanayak while speaking on the Union Budget 206 at a seminar entitled “PwC Union Budget 2016:Accelerating the momentum” here on Saturday.
It was organized by Federation of Indian Chambers of Commerce and Industry (FICCI) in collaboration with PwC.
The International Monetary Fund has projected India to be at a bright spot, while the World Economic Forum has commented that India’s growth rate is extraordinarily high. The growing aspirations of people will be reflected in developmental strategy with great emphasis being given to programmes like Digital India, Skill India, Startup India Plan, he added.
Therefore, the Union Budget proposes that if nonresidents provide alternative documents to PAN Card, a higher withholding tax would not apply. Additional options were made available to banking companies and financial institutions, including non banking financial companies, for reversal of input tax credits on non-taxable services, observed Pattanayak.
PwC partner Manish Sheth said that infrastructure facilities are backbone for a country. Development of the infrastructure sector has been a priority area for the Government and has witnessed enhanced public investment. Many reforms have been initiated in the infrastructure sector, resulting in robust growth in most of the sectors, he said.
Significant direct tax reforms as reducing corporate tax rates for specified persons combined with sunset for various tax incentives, voluntary dispute resolution measures, taxation of patents, accountability of tax officers, and progressive taxation of dividends rationalization of TDS, are taxpayer friendly and indicate the intent of a simplified, non adversarial tax regime, Subhrakanta Panda from FICCI Odisha State Council.