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Tax On Forex

BSCAL

Is this years budget proposals, this benefit has been withdrawn. The finance minister has given no clear reason for withdrawing this benefit suddenly. I wish he would consider the following facts:

Hotels (even if owned by foreign companies) are given similar incentives for earning forex.

Tour operations in India get similar benefits even for foreign exchange earnings from inbound tourists. Profits from export of commodities and raw materials, where there is zero value addition, get 100 per cent tax exemption. Such benefits are allowed even for deemed exports.

If these services and exports continue to get IT benefit for forex earnings, has the finance minister not been discriminatory against engineers and professionals, who have been singled out and denied these benefits?

 

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First Published: May 13 1997 | 12:00 AM IST

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