Kshitij M Kotak
The recent Budget’s focus was expansive, across 10 distinct themes—farmers, rural population, youth development, poor & underprivileged, financial sector, infrastructure, digital economy, public service, prudent fiscal management, tax administration—a tall order. The Union Budget 2017-18 is a blueprint that has outlined the plans of our government which is on a mission to transform, energise and clean India. Here are the top 5 things that are of interest for the channel community.
1) Promoters just being on board and not have 51% voting right for 5 years continuously will create greater value creating and fund flowing in will improve.
2) Profit linked deductions now available for 3 years out of 7 years instead of earlier 5 years, this will result in more profit-to-keep and spur investment further
3) Lower tax, almost 20% lesser than before at 25% IT than earlier at 31%. This will also prompt SME to invest a part of this in technology solutions with additional saving
4) Digital connectivity OFC and vocational training program (STRIVE) to 1.5 Lakh villages can connect 15 crore youth in rural area with businesses like ours which would benefit with lower cost of rural socio-economy and perform server support, remote management service, marketing activity and even software development.
5) Cheque bouncing to invite harsh punishments . Currently that is the most impeding problem for an SME to grow.
(The author is the Executive Director: Innovation of BLACKBOX Data Safe. Views expressed are his own)