Budget 2019: Revive economic growth, simplify GST

By Arvind Mediratta

Reviving economic growth, boosting consumption and building momentum for investment should be key priorities for the new Government in the upcoming Budget 2019. Increasing tax exemption for an individual will put more money into people’s hand and will spur consumption.

There is a need to simplify GST for ease of doing business for small traders & SMEs; government should also look at hiking the exemption limit for GST further from 40 lakhs to 1 crore. To give an impetus to the informal sector (street vendors, electricians; plumbers, etc), the government should introduce health insurance schemes like the monthly pension scheme for the informal sector. In addition, the introduction of loan facilities for the informal sector will further boost entrepreneurship.

The government should also look at re-introducing input tax credit for the restaurant industry, and also look at the reduction of the number of licenses required for operating restaurants, small hotels & eateries. The government should also outline bolder labour reforms to boost employment opportunities.

Arvind Mediratta is the MD & CEO of METRO Cash & Carry India

 

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