Parliamentary Consultative Committee of Finance Ministry meets
The Finance Minister, Shri Pranab Mukherjee has said that timely and pro-active monetary and fiscal measures have ensured that the growth process remain intact despite the adverse impact of global financial crisis. He was chairing the meeting of Parliamentary Consultative Committee attached to the Finance Ministry, here today. Shri Mukherjee briefed the members about the state of the economy before inviting suggestions from the Members of the Committee for formulation of General Budget 2010-11. The Finance Minister stated that the adverse impact of the global financial crisis and the subsequent recessionary trend in the major economies of the world had cast a cloud of uncertainty over the domestic economy in the second half of 2008-09. However, the policy measures undertaken by the Government have worked and the macro-economic situation confirms signs of a turn-around for the economy.
The Finance Minister informed the members that the Government will continue discussions to get inputs on the major tax reforms viz., Direct Taxes Code and Goods and Service Tax.
Members present in the meeting gave various suggestions and thanked the Minister for consulting the representatives of people to formulate General Budget.
Ministers of State for Finance, Shri S.S. Palanimanickam and Shri Namo Narain Meena were present in the meeting which was attended by S/Shri Shantaram Naik, Sabir Ali, N.K. Singh, A. Vijayaraghavan, Rajiv Shukla, Rajkumar Dhoot, Ravi Shankar Prasad, Tarik Anwar and Dr. E. M. Sudarsana Natchiappan, – Members of Rajya Sabha and S/Shri Mukesh B. Gadhvi, T.R. Baalu, Anto P. Antony, Jayant Chaudhary, Narhari Mahato and Smt. Rajkumari Ratna Singh, – Members of Lok Sabha. Finance Secretary, Revenue Secretary, Expenditure Secretary, Disinvestment secretary, Secretary, Financial Services and other senior officers of the ministry also attended the meeting.
please consider to grant higher deduction under section 80U for physically challenged person. Also transport allowance for physically challenged person be exempted from tax.
I request to abolish service tax charged on CTC(commercial training and coaching)on coaching centres @10.3% because the same is paid by the students which is extra burden on their parents. Now a days coaching is necessary to compete for higher education.
For example if a coaching centre charges Rs.5000 as coaching fee,they collect a total of Rs.5515(including 10.3% of service tax) from every student .
So I request honourable Finance Minister to abolish service tax on the same.
THAT WAS MY SUGGESTION.
CENTRAL & EXCISE MATTERS
Budget should simplify excise & service tax rules. The rules should be made very specific, transparent so that there is no scope for litigations.The reason for so many cases pending in CESTAT is due to the interpretaion of Rules.Each person has his or her opinion as the Rules are specific.For e.g In Input credit Rules of Excise, there is no mention of credit on BULKERS ( of cement). So because of this show cause notices are issued and it is pending in CESTAT. There is mention of any time limit for taking input credit in EXCISE & SERVICE tax, as as result if an assessee takes credit after one or two years show cause notices are issued. SO PLEASE SIMPLIFY THE RULES. EACH RULES NEEDS TO BE ALTERED STUDIED IN DETAIL