FISCAL DEFICIT
Allocation of 25,000 for recapitalization of banks is only a patch with the total requirement identified at 1,80,000 crs by the Economic Survey. This area needs serious attention as the banks play a vital role in spurring private investment that is so vital for an all-round economic revival
PASS THROUGH FOR ARC’s
FM has given a well intentioned pass through status to Trust that hold ARC assets. In the light of rising NPAs, the asset turnaround of stressed assets back into the economy is very much pivotal
Also read: What did the common man get in Budget 2016
DISPUTE RESOLUTION
The FM has proposed setting up of dispute resolution mechanism in respect of 5.5 lac cases that are pending before the First Appellate Authority. The shelter that would be available is waiver or reduction in levy of penalty. This initiative does not recognize the high pitched assessments that are routinely made which is also the fundamental reason for the first appeal. This move is surely not the remedy for the number of appeals pending before the 1st Appellate Authority
(Milind Kothari, Managing Partner & Head – Direct Tax, BDO India)
