'Union Budget not investor friendly'

Leading tax specialists, who met in Indore recently, voiced their concerns about this year's Budget. Subhash Lakhotia, a tax specialist listed the downside the Union Budget as he reckoned the Budget was discouraging and unhealthy for the investors.

Lakhotia said that everyone was convinced that the finance minister presented a rational Budget, which is in favour of the common man.

Of the many things that did not seem common man-friendly was a hike in service tax to 12 per cent from the previous 10 per cent.

He also took a critical view of the fringe benefit tax, saying that there were still many loopholes and that the parameters were not clearly defined.

Besides underlining negative points in the Budget, he also forwarded some concrete measures to curb tax evasion and to increase cash flow in markets.

He suggested that government encourage investment in bonds. He said the finance minister must formulate policies to extract black money and bringing more money into system.

He also recommended all details of a person's income tax returns must be recorded in a pass book then following his retirement, the individual must get social security benefits based on his return filing.

He suggested introduction of cash discounts on payments of taxes. He emphasised on levying tax on the agriculture income. He enlightened the gathering on methods of tax planning. People must invest in pension plans and security funds.

Income Tax Commissioner, Ram Singh, HDFC Life Insurance Zonal Manager, Manoj Jain, Sarda Resource Private Limited Director, CA Bharat Sarda, Maheshwari Professional Forum managing committee member Santosh Muchhal and other prominent persons were present on the occasion and they also contributed their views.