India Inc's Budget wish list: I-T relief & support for poor

● Govt warned against sharper fiscal consolidation

- Manu Kaushik

TAX CONCESSIONS FOR individuals and specific welfare schemes like consumption vouchers for the low-income population topped India Inc's wish list for the FY26 Budget.

In their pre-Budget meeting with finance minister Nirmala Sitharaman on Monday, representatives from the industry chambers called for more simplification in tax structure to reduce compliance costs. They advocated measures to raise disposable income, in order to give a boost to consumer spending.

The Budget will be presented on February 1. Industry bodies also raised the issues of dumping of excess stock by China globally, including in India, and challenges posed to food security and inflation due to the "climate emergency". They suggested the government to peg capital expenditure (capex) via Budget at a level 25% higher than ₹11.1 lakh crore budget estimate for FY25, with enhanced focus on rural infrastructure, even as actual capex this year is likely to be much less than the budget estimate. They said fiscal deficit be kept at 4.5% of the GDP for the next fiscal. A sharper consolidation in the fiscal deficit could impact demand, they warned.