Budget 2025 focuses on ease of doing biz, promotes manufacturing: ICAI
New Delhi, Feb 1, 2025
The Institute of Chartered Accountants of India (ICAI) on Saturday said the Budget focuses on ease of doing business, promote domestic manufacturing and position India as a more competitive player in global trade, supporting economic resilience and growth.
"Suggestions by ICAI in Pre-Budget memorandum regarding the finance bill 2025, phasing out of alternative tax regime, rationalisation of TDS and TCS regime, exemption of withdrawal from NSS and taxation of business trusts have also been accepted," ICAI President Ranjeet Kumar Agarwal said in a statement.
Finance Minister Nirmala Sitharaman on Saturday presented her eighth consecutive Budget. Sitharaman announced significant income tax cuts for the middle class and unveiled a blueprint for next-generation reforms for Viksit Bharat as she treaded a fine line between fiscal prudence and providing a thrust to growth.
ICAI also said deeming the annual value of two self-occupied house property as nil instead of erstwhile one, is a great move.
Among other measures, the Budget has announced a scheme to make India a global hub for toys by focusing on cluster development.
Contract manufacturing firm Aequs' Chairman and CEO Aravind Melligeri said the continuing tilt towards strengthening India's manufacturing sector is a positive step for growth.
"The all-round emphasis on MSMEs, which the minister termed as the second engine of growth is the backbone of Indian manufacturing, is in the right direction," he said in a statement.
Given the current market conditions and also long-term need to make India a global toy manufacturing hub, Melligeri said the emphasis on clusters for toy manufacturing is welcome.
"Having said that, we are awaiting some PLI announcements in the near future for components for consumer electronics, and manufacturing of toys which will provide a further fillip to Make in India," he added.
The company has a toy manufacturing cluster in Karnataka.
[Press Trust of India]
