Coimbatore District Small Industries Association (Codissia) has requested the Union govt to revise income tax and GST for small businesses.
A memorandum has been provided by Codissia to Union finance minister Nirmala Sitharaman, asking for petrol, diesel, and electricity to be drawn under the GST.
It has been wished by the organization that the finance minister suggest the GST administration lessen the present GST slab rate to 5, 10, and 15%.
“In the prevailing business scenario, all industries in the manufacturing sector are facing a decrease in turnover by around 30%. To improve the economic activity, GST rate reduction of 5% is requested for all slabs,” quoted the memorandum sent via Codissia president M Karthikeyan.
It has been wished by the organization to draw down the rates of cement and automobiles to 18%.
With regard to the concern of income tax, the rates for the partnership firms must be lessened to 20%, as per the memorandum. Tax on income ranging between Rs 5 lakh and 15 lakh must be lessened to 5% for individuals.
Asking the incentives to adopt green energy, Codissia wished for an accelerated depreciation at 80% towards the generation of green energy and electric vehicles. Under Sec 80-IA the organization asked for an exemption for the solar power plants to get installed at the time of the subsequent few years.
Emphasizing the current principles with the e-way bills, Codissia mentioned that the expiry date of e-way bills on national/festival holidays and Sundays must have an automatic rollover to the following working day.
It added that multiple delays have been caused by problems such as traffic congestion and road work. In these matters, the roving squad must prevent imposing penalties.
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In the banking sector, the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act (Sarfaesi Act), which authorizes banks to auction properties to recover defaulted loans, must be amended in consultation with industrial associations, Karthikeyan expressed.
Since banks are unwilling to furnish loans under the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) scheme, a district-level monitoring committee must be designated under the chairmanship of the district collector with members comprising the general manager of the district industries centre, lead bank, and two leading MSME associations, Codissia stated
