Budget 2025 Expectations: An amnesty scheme for customs, reduction in tax rates for individuals and Limited Liability Partnership firms, easier tax compliance, fast tracking of faceless appeals and a dedicated dispute resolution mechanism top India Inc’s wishlist for the next Budget submitted to the government.
Industry Bodies Submit Budget Recommendations for 2025
Representatives from all four key industry bodies, CII, FICCI, ASSOCHAM and PHDCCI, have put forth detailed recommendations about the Budget, to be presented on February 1, 2025, in separate meetings held with top Finance Ministry officials.
FICCI’s Recommendations for an Amnesty Scheme Under Customs
Industry body FICCI sought the introduction of an “Amnesty Scheme under Customs” as a one-time settlement scheme to clear past dues, arguing that it will help the industry to reduce the baggage of litigation.
CII’s Focus on Tax System Reforms
CII also made a strong pitch for further reforms in the tax system, including through simplification of taxes, increasing India’s tax competitiveness, broadening of tax base and reducing tax litigation to build a globally competitive Indian economy.
ASSOCHAM’s Push for a Tax Amnesty Scheme
Similarly, Assocham has also pitched for the introduction of a comprehensive Tax Amnesty Scheme under Customs.
“A one-time settlement scheme to clear past litigations can be considered by the Government, on the lines similar to Sabka Vishwas Legacy Dispute Resolution Scheme, 2019 for pre-GST era indirect taxes and Vivad Se Vishwas for Income tax,” Assocham stated.
It suggested that the Government can provide relief to importers against all the disputes related to the Customs Act; Partial waiver of the duty in dispute depending on the quantum involved; and Complete waiver of interest and penalty.
Simplified Compliance and Dispute Resolution Mechanisms
Industry chambers have also demanded simplified compliance concerning TDS (tax deducted at source) and the introduction of a new independent Dispute Resolution forum for effective and time-bound dispute resolution.
FICCI’s Proposal to Support Women-Led Development
To enhance women-led development, FICCI urged the government to exempt reimbursement of daycare expenses from perquisite taxation.
