Industrialists and businessmen of the State gave mixed reactions on the general budget-2021, presented in the Parliament on Monday by Finance Minister Nirmala Sitharaman.
Apex traders body, Federation of Jharkhand Chambers and Commerce and Industries (FJCCI), said, by issuing a Press statement, that the budget presented by the Finance Minister is to deal with the situations of Covid in future. The budget has a special focus on infrastructure, healthcare, agriculture, housing,which is a welcome step. Spending in all these sectors ensures that there will be availability of cash in the market and this will give a boost to the MSME sector, but the MSME sector, which is the main contributor to the Country's GDP, has not received as much space as it needed. These are long term schemes, so the Government needed to boost these sectors immediately by giving incentive schemes. There is apathy due to non-introduction of Direct Incentive Scheme for MSME sector.
There has been talk of simplification of GST in the budget, but what will be its format, it is not mentioned in the budget. Textile Mega Park has been announced, it is welcome. The State Government should make efforts to bring Textile Park in Jharkhand. Nothing has been announced for Jharkhand directly in the budget, which is a matter of concern. The decision to extend the tax holiday period by one year is a good step to encourage startups. Announcement of tax relief to senior citizens and 6 to 3 years to re-open assessment in income tax is welcome. But the middle class had hopes of tax exemption, which has been ignored, which is worrying. It will be beneficial to consider special monitoring measures so that the benefits of the schemes announced in the budget reach the people.
President, FJCCI, Praveen Jain said that the Government's focus in the budget is to boost the economy through health, infrastructure and reform. "The increase in health budget, relief to the industry by not imposing any new tax, tax relief for senior citizens, increasing government spending irrespective of fiscal deficit is welcome. No change in the slab of income tax gives a message of relief as it was feared among taxpayers before the budget. Through the budget, the Government has shown commitment to the welfare of the farmers, this will remove the misconception among them," he added.
FJCCI General Secretary Rahul Maru said that it is a balanced budget. No direct announcement has been made in the context of Jharkhand. There is no tax holiday in the overall business, which is disappointing, he added.