10 FEB,2020 | MEDC
The Union Budget presented recently by the Finance Minister has struck the right balance between incentivizing growth and promoting fiscal discipline. Macro stability is non-negotiable, and the government has done wisely by attempting to turn agriculture and the rural sector into a true wealth creator. Moving to a dual tax system by giving taxpayers the option of getting rid of exemptions in the personal income tax space is a step in the right direction. The income tax act has become unwieldy largely because clauses have been kept added to it for the past half-century, giving people the opportunity to interpret it in whichever way suited them best. That will, hopefully, change now, and standardization and simplification will enter the picture. This Budget is also a serious attempt to encourage foreign companies to explore the Indian market. The scrapping of the DDT is in line with this thinking. It is impossible to please everyone, but a visionary roadmap for the coming decade is now certainly in place.
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