Looking forward to a outcome-based budget: Mastek
This year the India Inc. is looking forward to an outcome based budget with focus on reducing the fiscal deficit.
February 22, 2011 / 11:27 IST
By Ashank Desai, Co-Founder, Mastek
This year the India Inc. is looking forward to an outcome based budget with focus on reducing the fiscal deficit. Today companies in all sectors, manufacturing, technology, etc. are working towards implementing innovative eco-systems within their organizations, government needs to encourage this through right-sized incentives. Investment in technology for the government sector needs to see increased attention. While the process has been initiated, provisions are slow and the sector holds a huge potential. GST has been on the agenda for some time now and has immense benefits for both central and state levels. Government needs to work closely with states and the move towards the implementation stage now. There are currently a lot of issues around the Service Tax which need to be resolved on an immediate basis. Simplification of these and concessions to entrepreneurs & start-ups will help provide fuel for growth of Indian industry scenario. At the same time, the small & mid-sized companies, especially in the IT sector, are looking forward to some new clauses in the FBT. In order to encourage and give a boost to this sector government should also focus on meeting their needs in this area. On the long term outlook government should focus on improving the literacy rate in India. The sector needs a large amount of funds to be allocated towards its development as the current 1% being is extremely low. Apart from Education, infrastructure should be another main area for development. Government needs to bring about ways to accelerate the growth of the sector through measures such as incentives on faster project completion. Lastly, while there are multiple issues to be addressed, government needs to prioritise the needs of the different sectors and draft a structured plan to ensure simultaneous yet balanced growth. Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
