The Kumaon Garhwal Chamber of Commerce and Industry (KGCCI) head Vikas Jindal opined that 25 per cent income tax rate for companies with upto Rs 250 crore turnover is a welcome step taken in the general budget. However, lack of any changes in tax rebate for individuals is highly disappointing for the common people. Referring to 10 per cent tax on long term capitalised gains on transactions in the equity market, he opined that the Government tends to tighten its grip on whichever sector makes rapid progress in the country, which is not fair.
Increasing the duty on electronic goods to encourage the Make in India initiative will definitely benefit local industrial enterprises.
In the case of new employees, the Government contributing 12 per cent to EPF is also a good step. Jindal said, “Regarding infrastructure, the Union Finance minister Arun Jaitley made some announcements in the budget. There were many angles which should have been taken into consideration.
These include developing 10 organic sites in the nation, construction of 9,000 kilometres of new national highways, developing 99 cities as Smart Cities,linking 46 airports through Udan Yojana and five-fold increase in the number of airports. How much this will benefit Uttarakhand is yet to be clear,” he added.
He said that hope was being expressed about announcement of special industrial package in the budget to encourage establishment of small industries in the mountainous regions to stem migtation.
However, the state has been disappointed in this regard. If the chief minister and MPs made necessary efforts at the Central level, developmental works in the state can be expedited, added the KGCCI head.