M A I N   N E W S

FM hints at no change in direct taxes
Tribune News Service

NEW DELHI, Feb 14 — The Union Finance Minister, Mr Yashwant Sinha, today indicated that the fresh direct tax package is likely to be introduced in the forthcoming Budget even as he hinted that the new package is unlikely to alter the existing rates.

“I hope you will not be disappointed”, the Finance Minister said while speaking at the inaugural session of the 80th annual general meeting of the Associated Chambers of Commerce and Industry of India (Assocham).

“The existing personal income tax rate of 30 per cent and 35 per cent on corporates was among the lowest in the world”.

“My predecessor has cleared up the direct tax rates, and except for surcharge rates I have not interfered, because I find it reasonable,” he said.

Regarding indirect taxes, Mr Sinha said the excise slab of 8 per cent was “special and temporary” and the country has to ready itself to migrate towards a uniform rate of 16 per cent.

“The tendency of the trade and industry to seek exemption has to be eschewed”, he said.

On the much debated issue of dumping, the Finance Minister said that the government has sought to address the issue adequately