BUSINESS

IT sector wants steps for ease of doing business, boosting industry

IT hardware and software industries sought measures to promote ease of doing business and incentives to boost domestic manufacturing.

During pre-budget consultations with Finance Minister Arun Jaitely, IT hardware manufacturers’ body MAIT sought extension of duty differential scheme for laptops, notebooks and servers as well as rebate for consumer buying made in India products to push local manufacturing.

“One of our major demands was extension of duty differential scheme to include computers, laptops and servers to provide protection against imports. Also, we need to create a component trading hub.We have also proposed five-year tax holiday for electronic manufacturing,” MAIT Vice President Nitin Kunkolienker told The Hindu.

MAIT has also proposed that consumers be given a rebate of up to Rs.10,000 or 25 per cent (whichever lower) on made in India products.

Mr. R.Chandrashekhar, president of the software industry body, Nasscom, said, “Our main focus is on ease of doing business and level playing field.

“Important backdrop of our suggestion was that the industry does face headwinds globally because of protectionism and anti-globalisation forces in different countries,” he said.In its pre-Budget memorandum, Nasscom pushed for removing constraints in funding and taxation of start-ups and addressing ambiguities in e-commerce taxation as also the issues of dual levy of VAT and service tax on delivery charges of goods.