India Inc seeks higher capex, tax reforms in upcoming Budget

India Inc, in its pre-Budget consultations with Finance Minister Nirmala Sitharaman on June 20, emphasized key recommendations for the upcoming Union Budget. Sanjiv Puri, President of CII, advocated for a 25% increase in capex allocation to Rs 11.8 lakh crore for FY25, focusing on rural infrastructure such as irrigation and cold chains. \r

Suggestions also included tax reforms aimed at boosting consumption, like relief in income tax for lower income brackets and revisions in MNREGA wages and Direct Benefit Transfer under schemes like PM KISAN. FICCI called for simplification of the tax regime, correction of inverted duty structures, GST reforms, and incentives for labor-intensive sectors. \r

Additionally, India Inc sought measures to enhance ease of doing business, decriminalize business laws, and boost agri-rural development through technological advancements and R&D initiatives.