It is disappointing and it is a lost opportunity for economy, National Association of Software and Services Companies (Nasscom) has said.
“The Budget is disappointing on various counts. There is no focus on putting the economy on a high growth trajectory. It attempts to reduce fiscal deficit through higher taxation, rather than management of expenditure. There no roadmap on implementation of Direct Tax Code and Goods and Service Tax,” Nasscom said in a press release here on Friday.
Upset over a lacklustre Budget, Nasscom said it would submit a detailed post-budget memorandum, seeking the Government's intervention and support to build a conducive policy environment.
“The continuing uncertain business environment will be negative for investment and hence for growth as well. Equally important, given the current account deficit, there is need to provide a strategic thrust on high value exports; this aspect has been totally ignored. Increase in indirect taxes both service tax and excise is a setback,” it said.
“MAT has adversely impacting the viability of investments already made. This has not been removed. Increase in service tax and excise duty will increase cost of doing business in the country,” it said.
MAIT, the IT hardware industry association, has welcomed enhanced focus on skills for national and industry development by allocating Rs 1,000 crore. Also, proposals to start transfer of subsidies directly to retailers and farmers would help in reducing leakages. Using Aadhaar for financial inclusion projects and the planned optical fibre connectivity would propel use of gadgets.
Semiconductor association
Mr P.V.G. Menon, President of India Semiconductor Association (ISA), said the association would have liked to see some initiatives being announced for the promotion of the domestic Electronics Design and Manufacturing (ESDM) industry.
“We are also looking forward to the final policy as well as implementation details of the new National Electronics Policy as well as the National Telecom Policy, as related to ESDM sector,” he said.